{"id":34171,"date":"2025-12-22T11:58:40","date_gmt":"2025-12-22T10:58:40","guid":{"rendered":"https:\/\/figsflow.com\/uk\/?p=34171"},"modified":"2026-01-07T13:12:03","modified_gmt":"2026-01-07T12:12:03","slug":"best-aml-compliance-practices-for-small-accounting-firms","status":"publish","type":"post","link":"https:\/\/figsflow.com\/uk\/best-aml-compliance-practices-for-small-accounting-firms\/","title":{"rendered":"Best AML Compliance Practices for Small Accounting Firms"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"34171\" class=\"elementor elementor-34171\" data-elementor-settings=\"{&quot;element_pack_global_tooltip_width&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;size&quot;:&quot;&quot;,&quot;sizes&quot;:[]},&quot;element_pack_global_tooltip_width_tablet&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;size&quot;:&quot;&quot;,&quot;sizes&quot;:[]},&quot;element_pack_global_tooltip_width_mobile&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;size&quot;:&quot;&quot;,&quot;sizes&quot;:[]},&quot;element_pack_global_tooltip_padding&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;top&quot;:&quot;&quot;,&quot;right&quot;:&quot;&quot;,&quot;bottom&quot;:&quot;&quot;,&quot;left&quot;:&quot;&quot;,&quot;isLinked&quot;:true},&quot;element_pack_global_tooltip_padding_tablet&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;top&quot;:&quot;&quot;,&quot;right&quot;:&quot;&quot;,&quot;bottom&quot;:&quot;&quot;,&quot;left&quot;:&quot;&quot;,&quot;isLinked&quot;:true},&quot;element_pack_global_tooltip_padding_mobile&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;top&quot;:&quot;&quot;,&quot;right&quot;:&quot;&quot;,&quot;bottom&quot;:&quot;&quot;,&quot;left&quot;:&quot;&quot;,&quot;isLinked&quot;:true},&quot;element_pack_global_tooltip_border_radius&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;top&quot;:&quot;&quot;,&quot;right&quot;:&quot;&quot;,&quot;bottom&quot;:&quot;&quot;,&quot;left&quot;:&quot;&quot;,&quot;isLinked&quot;:true},&quot;element_pack_global_tooltip_border_radius_tablet&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;top&quot;:&quot;&quot;,&quot;right&quot;:&quot;&quot;,&quot;bottom&quot;:&quot;&quot;,&quot;left&quot;:&quot;&quot;,&quot;isLinked&quot;:true},&quot;element_pack_global_tooltip_border_radius_mobile&quot;:{&quot;unit&quot;:&quot;px&quot;,&quot;top&quot;:&quot;&quot;,&quot;right&quot;:&quot;&quot;,&quot;bottom&quot;:&quot;&quot;,&quot;left&quot;:&quot;&quot;,&quot;isLinked&quot;:true}}\" data-elementor-post-type=\"post\">\n\t\t\t\t<div class=\"elementor-element elementor-element-598c307 e-flex e-con-boxed e-con e-parent\" data-id=\"598c307\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-eeaf5f9 elementor-widget elementor-widget-text-editor\" data-id=\"eeaf5f9\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span data-contrast=\"auto\">In November 2024,\u00a0<\/span><b><span data-contrast=\"auto\">Metro Bank was fined\u00a0nearly \u00a317 million<\/span><\/b><span data-contrast=\"auto\">\u00a0by the Financial Conduct Authority for failing\u00a0to properly\u00a0monitor\u00a0potential money laundering activities. Just a month earlier,\u00a0<\/span><b><span data-contrast=\"auto\">Starling Bank faced a \u00a329 million penalty<\/span><\/b><span data-contrast=\"auto\">\u00a0for similar compliance failures.\u00a0\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">These\u00a0aren&#8217;t\u00a0isolated incidents. They\u00a0represent\u00a0a growing trend of\u00a0UK regulators taking\u00a0AML compliance\u00a0seriously and imposing\u00a0significant\u00a0financial penalties on businesses that fall short.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">You might be thinking that your small accounting practice bears little resemblance to a major banking institution. You would be right. But the Money Laundering Regulations 2017 apply to accounting firms just as strictly as they do to banks.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">This guide breaks down your actual obligations and shows you practical implementation steps that work for small firms.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-4c52564 elementor-widget__width-initial elementor-widget elementor-widget-heading\" data-id=\"4c52564\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h6 class=\"elementor-heading-title elementor-size-default\">KEY TAKEAWAYS <\/h6>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c6686fd elementor-widget elementor-widget-text-editor\" data-id=\"c6686fd\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">Small accounting firms must conduct customer due diligence when\u00a0establishing\u00a0new client relationships, when existing client circumstances change significantly, and for occasional transactions exceeding \u00a315,000<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">A risk-based approach allows you to tailor compliance procedures to actual threats your practice faces, with different measures for standard clients versus high-risk situations like politically exposed persons or non-face-to-face relationships<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:0,&quot;335559739&quot;:0}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">Every firm must appoint a nominated officer to receive internal suspicion reports and file Suspicious Activity Reports with the National Crime Agency, regardless of practice size<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:0,&quot;335559739&quot;:0}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"4\" data-aria-level=\"1\"><span data-contrast=\"auto\">Proper record keeping of all due diligence measures, risk assessments, and client documentation must be\u00a0maintained\u00a0for five years after the business relationship ends<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:0,&quot;335559739&quot;:0}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"1\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"5\" data-aria-level=\"1\"><span data-contrast=\"auto\">A written policy statement documenting your AML procedures, staff training requirements, and internal reporting processes is mandatory even for sole practitioners and small practices<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:0,&quot;335559739&quot;:0}\">\u00a0<\/span><\/li><\/ul><p>By following these AML compliance practices, you can ensure your firm is protected from financial penalties.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-c5584dc elementor-widget__width-initial elementor-absolute elementor-widget elementor-widget-spacer\" data-id=\"c5584dc\" data-element_type=\"widget\" data-e-type=\"widget\" data-settings=\"{&quot;_position&quot;:&quot;absolute&quot;}\" data-widget_type=\"spacer.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-spacer\">\n\t\t\t<div class=\"elementor-spacer-inner\"><\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-1e20527 e-flex e-con-boxed e-con e-parent\" data-id=\"1e20527\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-87d846b elementor-widget elementor-widget-heading\" data-id=\"87d846b\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What is AML Compliance? <\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3e10ed4 elementor-widget elementor-widget-text-editor\" data-id=\"3e10ed4\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span class=\"TextRun SCXW71008967 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW71008967 BCX8\">Anti-Money Laundering compliance refers to the legal framework designed to prevent criminals from disguising illegally obtained funds as legitimate income. <\/span><\/span><span class=\"EOP SCXW71008967 BCX8\" data-ccp-props=\"{}\">As part of AML compliance, your firm should actively monitor transactions to detect any suspicious activity.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-23045b4 elementor-widget elementor-widget-text-editor\" data-id=\"23045b4\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p style=\"text-align: center;\"><b><span data-contrast=\"auto\">What are\u00a0the\u00a0stages of money laundering?<\/span><\/b><span data-ccp-props=\"{&quot;335551550&quot;:2,&quot;335551620&quot;:2}\">\u00a0<\/span><\/p><p style=\"text-align: center;\"><span data-contrast=\"auto\">Money laundering typically occurs in three stages. During placement, criminals introduce illicit money into the financial system. The layering stage involves moving that money through various transactions to obscure its origin. Finally, integration sees the money reintroduced into the legitimate economy, appearing to come from lawful sources.<\/span><span data-ccp-props=\"{&quot;335551550&quot;:2,&quot;335551620&quot;:2}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-11ed331 elementor-widget elementor-widget-text-editor\" data-id=\"11ed331\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span data-contrast=\"auto\">For accounting firms,\u00a0AML compliance\u00a0means implementing systems and controls that prevent your services from being used in any of these three stages. This includes:<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"2\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">verifying client identities,\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"2\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">understanding the source of funds you handle,\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"2\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">monitoring\u00a0for suspicious transactions, and\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"2\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"4\" data-aria-level=\"1\"><span data-contrast=\"auto\">reporting concerns to the\u00a0appropriate authorities\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><p><span data-contrast=\"auto\">The goal is not to turn you into a law enforcement officer. Rather, it is to ensure that professional service providers\u00a0maintain\u00a0vigilance and create barriers that make money laundering more difficult.<\/span><span data-ccp-props=\"{&quot;335559685&quot;:0}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">The risk-based approach at the heart of\u00a0<\/span><a href=\"https:\/\/figsflow.com\/list-of-2025-aml-rules-for-accountants-in-the-uk\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">UK AML regulations<\/span><\/a><span data-contrast=\"auto\">\u00a0acknowledges that not every client presents the same level of risk. A long-standing client who is a residential landlord with straightforward rental income presents different risks than a new client\u00a0operating\u00a0a cash-intensive business with complex ownership structures and international transactions. Your compliance measures should reflect these different risk profiles while meeting\u00a0minimum\u00a0regulatory requirements across your entire client base.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0beacc7 elementor-widget elementor-widget-heading\" data-id=\"0beacc7\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">What Are the Main AML Regulations in the UK? <\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-715506d elementor-widget elementor-widget-text-editor\" data-id=\"715506d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Three primary pieces of legislation govern AML compliance for UK accounting firms.<\/p><p><strong>The Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017<\/strong> form the backbone of your obligations. This regulation, commonly referred to as MLR 2017, was amended in 2019 to incorporate the EU&#8217;s 5th Anti-Money Laundering Directive into UK law. It sets out specific requirements for customer due diligence, record keeping, internal controls, and reporting obligations.<\/p><p><strong>The Proceeds of Crime Act 200<\/strong>2 establishes the criminal offences associated with money laundering and outlines the framework for confiscating criminal proceeds. This Act is particularly important because it creates a legal obligation to report suspicious activity. Under <a href=\"https:\/\/www.legislation.gov.uk\/ukpga\/2002\/29\/contents\" target=\"_blank\" rel=\"noopener\">POCA 2002<\/a>, failing to report knowledge or suspicion of money laundering when you work in the regulated sector constitutes a criminal offence. The Act also protects you from breach of confidentiality claims when you make a report in good faith.<\/p><p><strong>The Financial Services and Markets Act 2000<\/strong> provides the regulatory framework for financial services in the UK and establishes the Financial Conduct Authority as a supervisory body. While most small accounting practices fall under HMRC supervision rather than FCA oversight, understanding the broader regulatory landscape helps contextualise your specific obligations.<\/p><p>These regulations are fundamental for AML compliance and apply to all accounting practices in the UK.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f0f3671 elementor-widget elementor-widget-heading\" data-id=\"f0f3671\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Who Regulates AML in the UK? <\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0caf5a0 elementor-widget elementor-widget-text-editor\" data-id=\"0caf5a0\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span class=\"TextRun SCXW65535589 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW65535589 BCX8\">Multiple supervisory authorities oversee\u00a0<\/span><span class=\"NormalTextRun SCXW65535589 BCX8\">AML compliance<\/span><span class=\"NormalTextRun SCXW65535589 BCX8\">\u00a0across different sectors in the UK.<\/span><\/span><span class=\"EOP SCXW65535589 BCX8\" data-ccp-props=\"{}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-2adf37d elementor-widget elementor-widget-text-editor\" data-id=\"2adf37d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p style=\"text-align: center;\"><span data-contrast=\"auto\"><strong>HM Revenue and Customs<\/strong>\u00a0serves\u00a0as your primary supervisor for most small accounting practices.\u00a0HMRC supervises accountancy service providers, tax advisers, and trust or company service providers.\u00a0<\/span><span data-ccp-props=\"{&quot;335551550&quot;:2,&quot;335551620&quot;:2,&quot;335559685&quot;:0}\">\u00a0<\/span><\/p><p style=\"text-align: center;\"><span data-contrast=\"auto\">This supervision includes the power to conduct compliance visits, request documentation, impose penalties for breaches, and,\u00a0in serious cases, pursue criminal prosecutions.<\/span><span data-ccp-props=\"{&quot;335551550&quot;:2,&quot;335551620&quot;:2,&quot;335559685&quot;:0}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-e323be0 elementor-widget elementor-widget-text-editor\" data-id=\"e323be0\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><b><span data-contrast=\"auto\">The Financial Conduct Authority<\/span><\/b><span data-contrast=\"auto\">\u00a0regulates firms providing financial services, including some larger accounting practices that offer regulated investment advice or other FCA-authorised activities. If your practice holds FCA authorisation for any services, you fall under dual supervision with different requirements and reporting obligations.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><b><span data-contrast=\"auto\">The National Crime Agency<\/span><\/b><span data-contrast=\"auto\">\u00a0<\/span><b><span data-contrast=\"auto\">receives\u00a0<\/span><\/b><a href=\"https:\/\/figsflow.com\/suspicious-activity-reporting-identifying-and-reporting-red-flags-and-warning-signs\/\" target=\"_blank\" rel=\"noopener\"><b><span data-contrast=\"none\">Suspicious Activity Reports<\/span><\/b><\/a><span data-contrast=\"auto\">\u00a0from all regulated sectors and coordinates the law enforcement response to financial crime.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><b><span data-contrast=\"auto\">The Serious Fraud Office investigates major fraud and corruption cases<\/span><\/b><span data-contrast=\"auto\">, which may occasionally involve accounting firms either as victims or unwitting facilitators.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">Understanding which regulator supervises your firm\u00a0helps you\u00a0determine\u00a0where you\u00a0submit\u00a0notifications, who might conduct compliance visits, and which guidance documents apply most directly to your situation.\u00a0<\/span><span data-ccp-props=\"{}\">These regulatory bodies ensure that all accounting firms follow the AML compliance guidelines set forth by UK law.<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-4afbfda elementor-widget elementor-widget-heading\" data-id=\"4afbfda\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Who is Subject to AML Regulations in the UK? <\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-b2158db elementor-widget elementor-widget-text-editor\" data-id=\"b2158db\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span class=\"TextRun SCXW192509609 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW192509609 BCX8\">The Money Laundering Regulations cast a wide net across professional service providers. Accounting firms fall squarely within the regulated sector, and the regulations\u00a0<\/span><span class=\"NormalTextRun SCXW192509609 BCX8\">don&#8217;t<\/span><span class=\"NormalTextRun SCXW192509609 BCX8\">\u00a0distinguish between large practices and sole practitioners. A sole practitioner offering tax advice faces the same fundamental obligations as a multinational acco<\/span><span class=\"NormalTextRun SCXW192509609 BCX8\">unting net<\/span><span class=\"NormalTextRun SCXW192509609 BCX8\">work.<\/span><\/span><span class=\"EOP SCXW192509609 BCX8\" data-ccp-props=\"{}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-1781df7 elementor-widget elementor-widget-text-editor\" data-id=\"1781df7\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p style=\"text-align: center;\"><b><span data-contrast=\"auto\">Your accounting firm is subject to AML regulations if you provide:<\/span><\/b><span data-contrast=\"auto\">\u00a0accounts preparation, bookkeeping, tax advice, audit services, insolvency work, or act as a trust or company service provider.\u00a0<\/span><span data-ccp-props=\"{&quot;335551550&quot;:2,&quot;335551620&quot;:2}\">\u00a0<\/span><\/p><p style=\"text-align: center;\"><span data-contrast=\"auto\">Beyond traditional accounting services,\u00a0you&#8217;re\u00a0also regulated if you form companies for clients, act as a director or company secretary, provide registered office services, or act as\u00a0a\u00a0trustee. Estate\u00a0agency work,\u00a0high-value\u00a0dealing in goods, and\u00a0operating\u00a0as a money service business trigger\u00a0obligations\u00a0too.<\/span><span data-ccp-props=\"{&quot;335551550&quot;:2,&quot;335551620&quot;:2}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f594aff elementor-widget elementor-widget-text-editor\" data-id=\"f594aff\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span class=\"TextRun SCXW63033366 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW63033366 BCX8\">The obligations extend to everyone in your firm. You must ensure employees receive\u00a0<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">appropriate AML<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">\u00a0training, understand their responsibilities to report suspicions internally, and follow your documented procedures. The concept of a\u00a0<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">&#8220;<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">relevant person<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">&#8220;<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">\u00a0under the regulations means anyone who\u00a0<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">encounters<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">\u00a0clients or handles transactions must be included in your compliance framework. Even your receptionist taking initial client calls should understand basic red flags\u00a0<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">an<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">d know how to escalate concern<\/span><span class=\"NormalTextRun SCXW63033366 BCX8\">s.<\/span><\/span><span class=\"EOP SCXW63033366 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-9b22caf elementor-widget elementor-widget-text-editor\" data-id=\"9b22caf\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<h2 aria-level=\"2\"><span data-contrast=\"none\">Best\u00a0AML Compliance\u00a0Practices for Accounting Firms<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h2><p><span data-contrast=\"auto\">Here are the core practices that keep your firm compliant with UK AML regulations.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><img fetchpriority=\"high\" decoding=\"async\" class=\"aligncenter wp-image-34882 size-full\" src=\"https:\/\/figsflow.com\/uk\/wp-content\/uploads\/2026\/01\/Screenshot-2026-01-07-112806.png\" alt=\"Visual checklist of AML compliance best practices for small accounting firms.\" width=\"871\" height=\"897\" \/><\/p><h3 aria-level=\"3\"><span data-contrast=\"none\">Customer Due Diligence<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h3><p><span data-contrast=\"auto\">You must conduct\u00a0<\/span><a href=\"https:\/\/figsflow.com\/what-are-cdd-edd-why-do-bookkeepers-need-them\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Customer Due Diligence (CDD)<\/span><\/a><span data-contrast=\"auto\">\u00a0when\u00a0establishing\u00a0any new client relationship, regardless of whether\u00a0it&#8217;s\u00a0ongoing accountancy work or a one-off transaction. CDD is also\u00a0required\u00a0when you suspect money laundering, when you doubt previously obtained client information, or when a\u00a0client&#8217;s\u00a0circumstances change significantly.\u00a0<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p><p><b><span data-contrast=\"auto\">The CDD process has three parts.\u00a0<\/span><\/b><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">First,\u00a0identify\u00a0your client by collecting\u00a0their\u00a0full\u00a0name, residential address, and date of birth.\u00a0For individuals, use passports, driving licenses, or government-issued photo ID. Verify addresses through utility bills, bank statements,\u00a0or council tax bills.\u00a0For corporate clients,\u00a0check\u00a0the\u00a0company\u00a0structure through Companies\u00a0House, verify\u00a0the entity exists, and\u00a0identify\u00a0beneficial\u00a0owners controlling more than 25%.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">Second, verify information through independent sources.\u00a0Don&#8217;t\u00a0just accept documents at face value. Check against\u00a0credit reference databases, the electoral register, or\u00a0other authoritative sources.\u00a0<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"3\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">Third, understand why this client needs your services, where their funds come from, and what activity levels you expect from the relationship.<\/span><span data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/li><\/ul><p>To meet AML compliance standards, always verify client identities and ensure you understand the source of their funds.<\/p><h3 aria-level=\"3\"><span data-contrast=\"none\">Risk Assessment Framework<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h3><p><span data-contrast=\"auto\">The regulations adopt a risk-based approach explicitly, meaning you tailor procedures to actual threats rather than treating every client identically. When assessing customer risk, consider client type first. A long-standing UK resident with straightforward rental income presents different risks than a newly arrived individual with complex international business structures.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">Services you provide matter too. Basic bookkeeping carries different risk profiles than corporate restructuring or trust administration. Geography plays a role,\u00a0as clients\u00a0operating\u00a0solely in the UK present lower risk than those with interests in high-risk\u00a0jurisdictions.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">Document your risk assessment for each client. A simple file note explaining why you consider them standard, low, or\u00a0high risk\u00a0satisfies the requirement. The AML compliance risk-based approach helps your firm focus resources where they are needed most.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><img decoding=\"async\" class=\"aligncenter wp-image-34903 size-full\" src=\"https:\/\/figsflow.com\/uk\/wp-content\/uploads\/2026\/01\/AML-Risk-Assessment-Framework.png\" alt=\"AML Risk Assessment Framework\" width=\"1000\" height=\"550\" \/><\/p><h3 aria-level=\"3\"><span data-contrast=\"none\">Enhanced Due Diligence Requirements<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h3><p><a href=\"https:\/\/figsflow.com\/enhanced-due-diligence-edd-explained\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Enhanced\u00a0Due Diligence (EDD)<\/span><\/a><span data-contrast=\"auto\">\u00a0becomes\u00a0mandatory in specific\u00a0situations.\u00a0When clients\u00a0aren&#8217;t\u00a0physically present during\u00a0identification, you must\u00a0take\u00a0additional\u00a0steps.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">Require the first payment from a bank account in the\u00a0client&#8217;s\u00a0name,\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">obtain extra\u00a0documentation, or\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"4\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">use video verification technology<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><p><a href=\"https:\/\/figsflow.com\/why-pep-screening-matters-for-accountants-bookkeepers\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Politically exposed persons<\/span><\/a><span data-contrast=\"auto\">\u00a0require\u00a0enhanced measures regardless of other factors. PEPs include individuals in prominent public positions, their immediate family, and known close associates. UK domestic PEPs need lighter-touch measures compared to non-UK PEPs, but both\u00a0require\u00a0senior approval for new relationships and enhanced ongoing monitoring.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">Clients from high-risk third countries\u00a0identified\u00a0by the EU also trigger enhanced due diligence. You must obtain source of wealth and source of funds information, apply\u00a0additional\u00a0verification measures, and conduct more frequent monitoring throughout the relationship.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p>For higher-risk clients, applying AML compliance measures such as Enhanced Due Diligence is critical.<\/p><h3 aria-level=\"3\"><span data-contrast=\"none\">Record Keeping Standards<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h3><p><span data-contrast=\"auto\">Retain copies of all documents used in customer due diligence. This includes identification documents, verification checks, beneficial ownership information, risk assessments, and decision-making notes.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">Keep transaction records showing services provided, amounts charged, and payments received. If you file a Suspicious Activity Report,\u00a0retain\u00a0a copy with supporting information.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">The standard retention period is five years from the end of the business relationship or completion of an occasional transaction. Records can be kept as original paper documents, photocopies, scanned digital images, or computerised records. The requirement is accessibility and readability throughout the retention period, not specific format.<\/span><span data-ccp-props=\"{}\">\u00a0<br \/>Proper record-keeping is a cornerstone of AML compliance, and it ensures your firm can quickly respond to audits.<br \/><\/span><\/p><h3 aria-level=\"3\"><span data-contrast=\"none\">Appointing a Nominated Officer<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h3><p><span data-contrast=\"auto\">Every accounting firm must appoint a nominated officer who receives internal suspicious activity reports and decides whether to file SARs with the National Crime Agency. In small practices, this is typically the principal or owner. Larger firms might\u00a0designate\u00a0a senior manager.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">The position requires sound judgment, understanding of money laundering risks, and sufficient seniority to make independent decisions without fee-earning pressures influencing reports. If your firm is FCA-regulated, you must also appoint a\u00a0Money Laundering Reporting Officer with broader compliance management responsibilities. In small firms, one person often serves both roles.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p>The nominated officer plays a key role in maintaining AML compliance and ensuring your practice meets regulatory requirements.<\/p><h3 aria-level=\"3\"><span data-contrast=\"none\">Ongoing Monitoring Procedures<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h3><p><span data-contrast=\"auto\">Compliance\u00a0doesn&#8217;t\u00a0end\u00a0after\u00a0initial\u00a0onboarding.\u00a0You must\u00a0maintain\u00a0awareness\u00a0of client affairs throughout the\u00a0relationship through\u00a0appropriate\u00a0vigilance\u00a0during normal interactions.\u00a0When preparing annual accounts, consider whether the\u00a0financial position\u00a0changed dramatically or unexpectedly.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"5\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">Have new directors been appointed?<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"5\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">Has ownership structure changed?\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"5\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">Are transactions inconsistent with the stated business model?<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><p><span data-contrast=\"auto\">Your annual engagement letter renewal provides a natural checkpoint to review client information and refresh risk assessments. If circumstances change in ways that increase risk, apply\u00a0additional\u00a0due diligence measures proportionate to the new risk level. Continuous monitoring is a key part of AML compliance, ensuring your practice remains up-to-date with any changes in regulations.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><h3 aria-level=\"3\"><span data-contrast=\"none\">Written Policy Statement<\/span><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">\u00a0<\/span><\/h3><p><span data-contrast=\"auto\">Every accounting firm must\u00a0maintain\u00a0a written AML policy statement, even sole practitioners.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">Your policy must name your nominated officer and define their responsibilities. It should explain how you conduct customer due diligence, including;<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"7\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">how you\u00a0identify\u00a0and verify clients,\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"7\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">how you assess risk levels, and\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"7\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><span data-contrast=\"auto\">what\u00a0enhanced measures you apply\u00a0in\u00a0higher-risk\u00a0situations?\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><p><span data-contrast=\"auto\">Additionally, it should explain\u00a0your ongoing monitoring approach,\u00a0internal reporting procedures, staff training requirements and how you ensure everyone steps aware of\u00a0their\u00a0AML obligations.\u00a0<\/span><span data-ccp-props=\"{&quot;335559685&quot;:0}\">\u00a0<\/span><\/p><p>A documented AML compliance policy is essential for every firm, detailing procedures and staff responsibilities.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-a24e88a elementor-widget elementor-widget-text-editor\" data-id=\"a24e88a\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span class=\"TextRun SCXW18684401 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW18684401 BCX8\">Read More:\u00a0<\/span><\/span><a class=\"Hyperlink SCXW18684401 BCX8\" href=\"https:\/\/figsflow.com\/how-to-write-an-aml-policy-figsflows-guide\/\" target=\"_blank\" rel=\"noopener\"><span class=\"TextRun Underlined SCXW18684401 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW18684401 BCX8\" data-ccp-charstyle=\"Hyperlink\">Writing an AML Policy: Full Guide 2025| FigsFlow<\/span><\/span><\/a><span class=\"EOP SCXW18684401 BCX8\" data-ccp-props=\"{}\">\u00a0<\/span><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-5741fd3 elementor-widget elementor-widget-heading\" data-id=\"5741fd3\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h3 class=\"elementor-heading-title elementor-size-default\">Staff Training Requirements <\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-57c4994 elementor-widget elementor-widget-text-editor\" data-id=\"57c4994\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><span data-contrast=\"auto\">Everyone in your firm needs training\u00a0appropriate to\u00a0their role.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"8\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><span data-contrast=\"auto\">Client-facing staff must understand how to conduct due diligence, recognise red flags, and report concerns internally.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"8\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><span data-contrast=\"auto\">Support staff need enough knowledge to\u00a0identify\u00a0unusual situations and escalate them appropriately.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><p><span data-contrast=\"auto\">Training\u00a0doesn&#8217;t\u00a0need to be\u00a0elaborate or expensive. Annual sessions work\u00a0for most\u00a0small practices.\u00a0<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p><span data-contrast=\"auto\">These sessions should cover basic money laundering awareness, your\u00a0firm&#8217;s\u00a0specific procedures, and examples of suspicious activity. Keep records of all training delivered, including dates, attendees, and topics covered.\u00a0HMRC will request these records during supervision visits to verify\u00a0you&#8217;re\u00a0meeting training obligations.<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/p><p>Implementing <strong data-start=\"2034\" data-end=\"2052\">AML compliance<\/strong> practices such as robust risk assessments ensures that your firm is prepared for any regulatory checks.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-6662838 elementor-widget elementor-widget-text-editor\" data-id=\"6662838\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<h2 aria-level=\"2\"><span data-ccp-props=\"{&quot;134245418&quot;:true,&quot;134245529&quot;:true,&quot;335559685&quot;:0,&quot;335559738&quot;:160,&quot;335559739&quot;:80}\">Helpful Resources\u00a0<\/span><\/h2><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"9\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"1\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Complete Guide to\u00a0AML Compliance\u00a0&amp; Financial Crime for UK Accountants:<\/span><\/b><span data-contrast=\"auto\">\u00a0<\/span><a href=\"https:\/\/figsflow.com\/uk\/aml-compliance-financial-crime-prevention-a-guide-for-uk-accountants\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Complete Guide to\u00a0AML Compliance\u00a0&amp; Financial Crime Prevention | FigsFlow<\/span><\/a><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"9\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"2\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">List of AML Regulations &amp; Regulators in the UK:\u00a0<\/span><\/b><a href=\"https:\/\/figsflow.com\/uk\/complete-list-of-aml-regulations-and-regulators-in-uk\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">List of UK AML Regulations for Accountants 2025 | FigsFlow<\/span><\/a><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"9\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"3\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">How to Verify Client Identity for\u00a0AML\u00a0Compliance:\u00a0<\/span><\/b><a href=\"https:\/\/figsflow.com\/verify-client-identity-for-aml-compliance-figsflow\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Verify Client Identity in\u00a0<\/span><span data-contrast=\"none\">AML: Step\u2011by\u2011Step Guide |\u00a0FigsFlow<\/span><span data-ccp-props=\"{}\">\u00a0<\/span><\/a><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"9\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"4\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">UKSanction\u00a0Screening Guide for Professionals &amp; Businesses:<\/span><\/b><span data-contrast=\"auto\">\u00a0<\/span><a href=\"https:\/\/figsflow.com\/uk\/uk-sanction-screening-guide-for-professionals\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Sanction Screening UK Guide 2025\/26 | FigsFlow<\/span><\/a><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul><ul><li aria-setsize=\"-1\" data-leveltext=\"\uf0b7\" data-font=\"Symbol\" data-listid=\"9\" data-list-defn-props=\"{&quot;335552541&quot;:1,&quot;335559685&quot;:720,&quot;335559991&quot;:360,&quot;469769226&quot;:&quot;Symbol&quot;,&quot;469769242&quot;:[8226],&quot;469777803&quot;:&quot;left&quot;,&quot;469777804&quot;:&quot;\uf0b7&quot;,&quot;469777815&quot;:&quot;hybridMultilevel&quot;}\" data-aria-posinset=\"5\" data-aria-level=\"1\"><b><span data-contrast=\"auto\">Common Identity Verification Mistakes in AML:<\/span><\/b><span data-contrast=\"auto\">\u00a0<\/span><a href=\"https:\/\/figsflow.com\/common-id-verification-mistakes-in-aml\/\" target=\"_blank\" rel=\"noopener\"><span data-contrast=\"none\">Common ID Verification Mistakes in AML | FigsFlow<\/span><\/a><span data-ccp-props=\"{}\">\u00a0<\/span><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-60fd731 elementor-widget elementor-widget-text-editor\" data-id=\"60fd731\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<h2 aria-level=\"2\">Conclusion\u00a0<\/h2><p>AML compliance\u00a0for small accounting firms\u00a0doesn&#8217;t\u00a0need to be overwhelming. The risk-based approach\u00a0allows you to implement proportionate measures focused on knowing your clients, understanding their money sources, keeping proper records, and reporting\u00a0genuine suspicions.\u00a0<\/p><p>Start with the essentials: appoint a nominated officer, create a written policy, develop systematic customer due diligence procedures, and build record-keeping into your existing file management. Small practices have natural advantages. You know your clients well, can spot unusual behaviour easily, and can implement changes quickly without bureaucratic hurdles. By adopting best practices for AML compliance, your firm can mitigate risks and maintain regulatory adherence.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-3eefd4a elementor-cta--skin-classic elementor-animated-content elementor-bg-transform elementor-bg-transform-zoom-in elementor-widget elementor-widget-call-to-action\" data-id=\"3eefd4a\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"call-to-action.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"elementor-cta\">\n\t\t\t\t\t\t\t<div class=\"elementor-cta__content\">\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t<h3 class=\"elementor-cta__title elementor-cta__content-item elementor-content-item\">\n\t\t\t\t\t\tUnderstanding AML Requirements When Buying or Selling Property \t\t\t\t\t<\/h3>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-cta__description elementor-cta__content-item elementor-content-item\">\n\t\t\t\t\t\tLearn how Anti-Money Laundering checks affect property transactions and what documentation you'll need as a buyer or seller \t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t<div class=\"elementor-cta__button-wrapper elementor-cta__content-item elementor-content-item \">\n\t\t\t\t\t<a class=\"elementor-cta__button elementor-button elementor-size-\" href=\"https:\/\/figsflow.com\/aml-checks-when-buying-or-selling-a-house-uk-guide\/\">\n\t\t\t\t\t\tRead the Property AML Guide \t\t\t\t\t<\/a>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-f6b7962 elementor-widget elementor-widget-heading\" data-id=\"f6b7962\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Frequently Asked Questions ( FAQs) <\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-aea3614 elementor-widget elementor-widget-bdt-accordion\" data-id=\"aea3614\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"bdt-accordion.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<div class=\"bdt-ep-accordion-container\">\n\t\t\t<div id=\"bdt-ep-accordion-aea3614\" class=\"bdt-ep-accordion bdt-accordion\" data-bdt-accordion=\"{&quot;collapsible&quot;:true,&quot;multiple&quot;:false,&quot;transition&quot;:&quot;ease-in-out&quot;}\" \t\tdata-settings=\"{&quot;id&quot;:&quot;bdt-ep-accordion-aea3614&quot;,&quot;activeHash&quot;:&quot;no&quot;,&quot;activeScrollspy&quot;:null,&quot;hashTopOffset&quot;:false,&quot;hashScrollspyTime&quot;:false,&quot;closeAllItemsOnMobile&quot;:false}\">\n\t\t\t\t\t\t\t\t\t<div class=\"bdt-ep-accordion-item\">\n\t\t\t\t\t\t<div\t\t\t\t\t\t\tclass=\"bdt-ep-accordion-title bdt-accordion-title bdt-flex bdt-flex-middle bdt-flex-between\" id=\"bdt-ep-accordion-what-are-the-4-pillars-of-aml\"\n\t\t\t\t\t\t\tdata-accordion-index=\"0\" data-title=\"what-are-the-4-pillars-of-aml\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon bdt-flex-align-right\"\n\t\t\t\t\t\t\t\t\taria-hidden=\"true\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-closed\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-opened\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<span role=\"heading\" class=\"bdt-ep-title-text bdt-flex-inline bdt-flex-middle\" >\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tWhat are the 4 pillars of AML? \t\t\t\t\t\t\t<\/span>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"bdt-ep-accordion-content bdt-accordion-content\">\n\t\t\t\t\t\t\t<p><span class=\"TextRun SCXW138492517 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW138492517 BCX8\">The four pillars are: Risk Assessment (<\/span><span class=\"NormalTextRun SCXW138492517 BCX8\">identifying<\/span><span class=\"NormalTextRun SCXW138492517 BCX8\">\u00a0money laundering risks in your business), Customer Due Diligence (verifying client identities and understanding their activities), Transaction Monitoring (detecting unusual or suspicious activity), and Compliance Programs (implementing policies, procedures, and staff training).<\/span><\/span><span class=\"EOP SCXW138492517 BCX8\" data-ccp-props=\"{}\">\u00a0<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"bdt-ep-accordion-item\">\n\t\t\t\t\t\t<div\t\t\t\t\t\t\tclass=\"bdt-ep-accordion-title bdt-accordion-title bdt-flex bdt-flex-middle bdt-flex-between\" id=\"bdt-ep-accordion-what-is-the-aml-risk-framework\"\n\t\t\t\t\t\t\tdata-accordion-index=\"1\" data-title=\"what-is-the-aml-risk-framework\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon bdt-flex-align-right\"\n\t\t\t\t\t\t\t\t\taria-hidden=\"true\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-closed\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-opened\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<span role=\"heading\" class=\"bdt-ep-title-text bdt-flex-inline bdt-flex-middle\" >\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tWhat is the AML risk framework? \t\t\t\t\t\t\t<\/span>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"bdt-ep-accordion-content bdt-accordion-content\">\n\t\t\t\t\t\t\t<p><span class=\"TextRun SCXW62467144 BCX8\" lang=\"EN-GB\" xml:lang=\"EN-GB\" data-contrast=\"auto\"><span class=\"NormalTextRun SCXW62467144 BCX8\">An AML risk framework is the structured system of policies and procedures that businesses use to prevent money laundering and terrorist financing. It includes customer verification (KYC), ongoing transaction monitoring, sanctions screening against regulatory watchlists, and risk-based controls tailored to your business activities.<\/span><\/span><span class=\"EOP SCXW62467144 BCX8\" data-ccp-props=\"{&quot;134233117&quot;:false,&quot;134233118&quot;:false,&quot;335559738&quot;:240,&quot;335559739&quot;:240}\">\u00a0<\/span><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"bdt-ep-accordion-item\">\n\t\t\t\t\t\t<div\t\t\t\t\t\t\tclass=\"bdt-ep-accordion-title bdt-accordion-title bdt-flex bdt-flex-middle bdt-flex-between\" id=\"bdt-ep-accordion-what-is-the-fcas-role-in-aml\"\n\t\t\t\t\t\t\tdata-accordion-index=\"2\" data-title=\"what-is-the-fca-039-s-role-in-aml\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon bdt-flex-align-right\"\n\t\t\t\t\t\t\t\t\taria-hidden=\"true\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-closed\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-opened\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<span role=\"heading\" class=\"bdt-ep-title-text bdt-flex-inline bdt-flex-middle\" >\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tWhat is the FCA&#039;s role in AML? \t\t\t\t\t\t\t<\/span>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"bdt-ep-accordion-content bdt-accordion-content\">\n\t\t\t\t\t\t\t<p>The Financial Conduct Authority (FCA) regulates and supervises firms&#8217; compliance with anti-money laundering requirements. It ensures businesses have effective systems to prevent money laundering, terrorist financing, bribery, corruption, and sanctions breaches, conducting reviews and taking enforcement action when firms fail to meet standards.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"bdt-ep-accordion-item\">\n\t\t\t\t\t\t<div\t\t\t\t\t\t\tclass=\"bdt-ep-accordion-title bdt-accordion-title bdt-flex bdt-flex-middle bdt-flex-between\" id=\"bdt-ep-accordion-what-is-the-current-anti-money-laundering-legislation-in-the-uk\"\n\t\t\t\t\t\t\tdata-accordion-index=\"3\" data-title=\"what-is-the-current-anti-money-laundering-legislation-in-the-uk\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon bdt-flex-align-right\"\n\t\t\t\t\t\t\t\t\taria-hidden=\"true\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-closed\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-opened\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<span role=\"heading\" class=\"bdt-ep-title-text bdt-flex-inline bdt-flex-middle\" >\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tWhat is the current anti-money laundering legislation in the UK? \t\t\t\t\t\t\t<\/span>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"bdt-ep-accordion-content bdt-accordion-content\">\n\t\t\t\t\t\t\t<p>The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLR 2017) is the primary legislation, as amended by the 2019 and 2022 regulations. These implement EU directives and set out requirements for customer due diligence, record-keeping, and suspicious activity reporting.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"bdt-ep-accordion-item\">\n\t\t\t\t\t\t<div\t\t\t\t\t\t\tclass=\"bdt-ep-accordion-title bdt-accordion-title bdt-flex bdt-flex-middle bdt-flex-between\" id=\"bdt-ep-accordion-who-regulates-aml-in-the-uk\"\n\t\t\t\t\t\t\tdata-accordion-index=\"4\" data-title=\"who-regulates-aml-in-the-uk\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon bdt-flex-align-right\"\n\t\t\t\t\t\t\t\t\taria-hidden=\"true\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-closed\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-opened\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<span role=\"heading\" class=\"bdt-ep-title-text bdt-flex-inline bdt-flex-middle\" >\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tWho regulates AML in the UK? \t\t\t\t\t\t\t<\/span>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"bdt-ep-accordion-content bdt-accordion-content\">\n\t\t\t\t\t\t\t<p>Multiple supervisory bodies oversee AML compliance depending on your sector. The Financial Conduct Authority supervises financial services firms, while professional bodies like HMRC, the Solicitors Regulation Authority, and professional accounting bodies supervise their respective sectors under a shared regulatory framework.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t\t<div class=\"bdt-ep-accordion-item\">\n\t\t\t\t\t\t<div\t\t\t\t\t\t\tclass=\"bdt-ep-accordion-title bdt-accordion-title bdt-flex bdt-flex-middle bdt-flex-between\" id=\"bdt-ep-accordion-what-are-the-new-aml-regulations-for-letting-agents-in-2025\"\n\t\t\t\t\t\t\tdata-accordion-index=\"5\" data-title=\"what-are-the-new-aml-regulations-for-letting-agents-in-2025\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon bdt-flex-align-right\"\n\t\t\t\t\t\t\t\t\taria-hidden=\"true\">\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-closed\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-plus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H272V64c0-17.67-14.33-32-32-32h-32c-17.67 0-32 14.33-32 32v144H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h144v144c0 17.67 14.33 32 32 32h32c17.67 0 32-14.33 32-32V304h144c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"bdt-ep-accordion-icon-opened\">\n\t\t\t\t\t\t\t\t\t\t\t<svg aria-hidden=\"true\" class=\"fa-fw e-font-icon-svg e-fas-minus\" viewBox=\"0 0 448 512\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\"><path d=\"M416 208H32c-17.67 0-32 14.33-32 32v32c0 17.67 14.33 32 32 32h384c17.67 0 32-14.33 32-32v-32c0-17.67-14.33-32-32-32z\"><\/path><\/svg>\t\t\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t\t<\/span>\n\t\t\t\t\t\t\t\n\t\t\t\t\t\t\t<span role=\"heading\" class=\"bdt-ep-title-text bdt-flex-inline bdt-flex-middle\" >\n\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\tWhat are the new AML regulations for letting agents in 2025? \t\t\t\t\t\t\t<\/span>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t\t<div class=\"bdt-ep-accordion-content bdt-accordion-content\">\n\t\t\t\t\t\t\t<p>From May 2025, all letting agents must conduct financial sanctions checks on every tenancy agreement, regardless of rental value. Previously, checks were only required for tenancies exceeding \u00a310,000 monthly rent. The new rules remove this threshold, requiring sanctions screening for all landlords and tenants without exception.<\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>Small accounting firms face the same strict AML obligations as banks. This guide breaks down customer due diligence, risk assessments, and record keeping requirements into practical steps that work for practices of any size.<\/p>\n","protected":false},"author":36,"featured_media":34203,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_tocer_settings":[],"footnotes":""},"categories":[6],"tags":[11],"class_list":["post-34171","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-compliance"],"acf":[],"_links":{"self":[{"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/posts\/34171","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/users\/36"}],"replies":[{"embeddable":true,"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/comments?post=34171"}],"version-history":[{"count":31,"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/posts\/34171\/revisions"}],"predecessor-version":[{"id":34909,"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/posts\/34171\/revisions\/34909"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/media\/34203"}],"wp:attachment":[{"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/media?parent=34171"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/categories?post=34171"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/figsflow.com\/uk\/wp-json\/wp\/v2\/tags?post=34171"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}