The UK Treasury has released its 2024–25 Anti-Money Laundering and Counter-Terrorist Financing (AML/CFT) Supervision Report, offering an overview of supervisory activity across the UK’s regulated sectors.
The report covers the performance and enforcement actions of 25 AML/CFT supervisors, including the Financial Conduct Authority (FCA), HMRC, the Gambling Commission, and professional body supervisors in the legal and accountancy sectors. Together, these bodies oversee nearly 95,000 regulated entities across financial services and designated non-financial businesses and professions.
The data indicate that supervisory activity intensified during the reporting period. Approximately 9% of supervised entities were assessed as high risk, a proportion consistent with that of previous years. Across all supervisors, a total of 1,518 formal enforcement actions and 1,905 informal actions were recorded, reflecting sustained regulatory scrutiny and an emphasis on corrective engagement alongside punitive measures.
Enforcement outcomes and financial penalties
Enforcement data highlights a notable increase in the use and value of financial penalties. During 2024–25, supervisors issued 1,085 fines with a combined value of GBP 59.5 million, up significantly from GBP 41.5 million in the previous year. The average fine stood at approximately GBP 55,000, although penalties varied substantially by sector and risk profile. Higher-risk firms and those demonstrating persistent non-compliance were more likely to face formal sanctions, including public censure and significant monetary penalties.
The scale of enforcement activity reflects the size and complexity of the UK’s AML/CFT supervisory regime. Supervisors collectively conducted nearly 8,000 desk-based reviews and onsite inspections during the year, supported by an estimated 693 full-time equivalent staff dedicated to AML/CFT supervision. Total supervisory expenditure reached approximately GBP 57 million, representing a year-on-year increase of around 24%, underlining growing investment in financial crime prevention.
Beyond enforcement, the report places strong emphasis on risk assessment and data collection. Supervisors reported that around 35% of businesses were categorised as medium risk, while approximately 56% were assessed as low risk. New effectiveness metrics introduced during the year revealed that roughly 15% of firms found to be non-compliant had also been non-compliant at their previous assessment, providing greater insight into persistent compliance weaknesses.
A key development highlighted in the report is the formalisation of co-operation and information-sharing metrics. For the first time, supervisors were required to collect and report data on referrals, disclosures, and engagement with guidance as a mandatory element of supervision, rather than on a best endeavours basis. This shift signals a clear regulatory priority on collaboration between supervisors, law enforcement, and other public bodies, and is likely to shape the direction of AML/CFT supervision in the coming years.
