{"id":542706,"date":"2026-06-22T15:18:43","date_gmt":"2026-06-22T14:18:43","guid":{"rendered":"https:\/\/cryptoslate.com\/?post_type=crypto_law&p=542706"},"modified":"2026-06-22T15:36:12","modified_gmt":"2026-06-22T14:36:12","slug":"uk-money-laundering-terrorist-financing-amendment-regulations-2026","status":"publish","type":"crypto_law","link":"https:\/\/cryptoslate.com\/crypto-laws\/uk-money-laundering-terrorist-financing-amendment-regulations-2026\/","title":{"rendered":"Money Laundering and Terrorist Financing (Amendment) Regulations 2026"},"content":{"rendered":"

The Money Laundering and Terrorist Financing (Amendment) Regulations 2026<\/a> are a United Kingdom statutory instrument, cited as S.I. 2026\/621, that revises the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017. The instrument was made on June 9, 2026. As of June 19, 2026, regulation 1 is in force, most substantive amendments are scheduled to begin on June 30, 2026, and selected cryptoasset provisions are deferred until 2027.<\/p>\n

What the 2026 UK money laundering regulations change<\/h3>\n

The regulations implement HM Treasury\u2019s response to its 2024 review of the effectiveness of the 2017 framework<\/a>. They make targeted changes rather than replacing the existing Money Laundering Regulations. The stated objectives are to improve proportionality and clarity, close identified gaps, maintain alignment with Financial Action Task Force standards, and coordinate the AML and counter-terrorist-financing system more effectively.<\/p>\n

Across the regulated sector, the instrument narrows mandatory enhanced due diligence linked to jurisdictions so that the automatic trigger focuses on countries on the FATF \u201cCall for Action\u201d list. It also changes the transaction trigger from \u201ccomplex or unusually large\u201d to \u201cunusually complex or unusually large,\u201d in each case assessed against the nature of the transaction. Euro-denominated thresholds are replaced with specified sterling figures, including calibrated amounts where a direct one-to-one conversion could fall below FATF standards.<\/p>\n

Cryptoasset provisions<\/h3>\n

Enhanced due diligence for correspondent relationships<\/h4>\n

From February 1, 2027, a UK cryptoasset exchange provider or custodian wallet provider entering a correspondent relationship with a similar provider from a third country must conduct additional checks. These include understanding the respondent\u2019s business, reputation, supervision and AML controls; obtaining senior-management approval; documenting responsibilities; and addressing customers with direct access to the correspondent\u2019s accounts. The rule also prohibits correspondent relationships with shell banks and requires enhanced measures where another institution is known to permit shell-bank use.<\/p>\n

Change in control and alignment with the FSMA regime<\/h4>\n

The substituted Schedule 6B reforms change-in-control rules for FCA-registered cryptoasset businesses. Initial elements take effect on June 30, 2026, while the remaining purposes take effect on October 25, 2027. The framework distinguishes businesses registered before and after the new Financial Services and Markets Act cryptoasset regime<\/a> begins, broadening notification coverage for legacy registrations and aligning later registrations more closely with the FSMA controller concept.<\/p>\n

Wider AML and registration reforms<\/h3>\n