GC24/4: Proposed amendments to Guidance on the treatment of politically exposed persons

Read GC24/4: Proposed amendments to FG17/6 - Guidance on the treatment of politically exposed persons (PDF)[1]

Why we are consulting 

The Financial Services and Markets Act 2023 requires us to review how firms are applying our Guidance to see if it remains appropriate or requires changes. We have completed a review and published our findings at the same time as this Consultation. 

Generally, we found that our Guidance remains appropriate. However, we have identified the following areas where our Guidance needs to be amended due to legislative changes or to make it clearer to help firms comply:

• application to Non-Executive Board Members of civil service departments;
• sign off for PEP relationships;
• the need to reflect changes to The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (the Money Laundering Regulations); and
• minor additional changes.

Who this applies to 

Our proposals for changes to the Guidance will be of interest to FCA-supervised firms under the Money Laundering Regulations. 

They may also be of interest to: 

• individuals and organisations working with firms subject to Regulations’ supervision;
• financial services trade associations; 
• any other parties interested in our Anti Money-Laundering supervision, such as non-governmental organisations working on financial crime prevention or academics; and 
• customers who meet the definition of a PEP, close family member or known close associate in the UK or elsewhere.

Next steps

Online response form[2]

We welcome your views on our proposals. Our consultation closes on 18 October 2024. 

Please use this online form, alternatively, you can send your comments on our proposals to [email protected].  

We will carefully consider comments and plan to publish feedback on this consultation along with the final amended text of our Guidance.