CP24/9: Financial Crime Guide updates

Read CP24/9 (PDF)[1]

Why we are consulting 

We are proposing updates to the Financial Crime Guide[2] in relation to sanctions, proliferation financing and transaction monitoring.

We are also proposing to add references to cryptoassets and the Consumer Duty, along with consequential changes throughout the Guide.

With these changes, we want to:

• help firms understand what we expect
• help firms assess the adequacy of their financial crime systems and controls
• remedy deficiencies

Who this is for 

This Consultation Paper (CP) is relevant to: 

• all FCA financial crime supervised firms
• firms that we supervise under the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLRs), including cryptoasset businesses

It may also be of interest to: 

• individuals and organisations working with firms subject to FCA financial crime and MLRs supervision
• financial services sector trade associations
• any other parties interested in FCA financial crime supervision; this could include non-governmental organisations working on financial crime prevention or academics

This CP is targeted at firms and will be of limited relevance to consumers. Some consumers or consumer groups however may be interested in the Guide. 

Next steps

This consultation has now closed. We will publish feedback on responses and issue a Policy Statement once we have reviewed your comments.

Background 

The Guide does not contain rules and imposes no new requirements on firms.

We expect firms to:

• have read and considered the guidance
• use your judgement on how it may help you ensure you have effective financial crime systems and controls in place