Delay Expected In Implementation Of UK Money Laundering Regulations

by Robin Pilgrim, LawAndTax-News.com, London

14 November 2003

Observers have suggested that new UK anti-money laundering regulations, which will oblige accountants to report on their clients if they have suspicions that money is being laundered, are unlikely to come into force until March 2004, at the very earliest.

The rules, which form part of the Proceeds of Crime Act 2002, were originally expected to come into effect in September of this year.

However, according to a report from the Financial Director news service, inter-governmental disgreements on the detail of the regulations meant that no conclusion was reached prior to Parliament's summer recess.

More than a month has passed since Members returned to the House of Commons, and even following the approval of the final regulations there will be a three month delay before they are implemented, but speaking to Financial Director, a Treasury spokesman revealed that the form of the rules has not yet been finalised:

"We are still in discussions with other departments over the regulations and there are issues that haven't yet been resolved," he explained.

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