Handbook of Anti-Money Laundering.

CHAPTER 7HOW MONEY-LAUNDERING-DETERRENCE REGULATIONS ARE APPLIED IN THE UK – THE JOINT MONEY LAUNDERING STEERING GROUP

In the UK, the main regulatory guidance with regard to money-laundering deterrence and terrorist financing is produced by the Joint Money Laundering Steering Group (JMLSG), which is made up of the leading UK trade associations in the financial services industry, including the British Bankers' Association. Its existence actually pre-dated the creation of the UK's original unitary regulator, the Financial Services Authority. The aim of the JMLSG is to encourage good practice in countering money laundering and to give practical assistance in interpreting the statutory UK Money Laundering Regulations. This is primarily achieved by the publication of industry guidance which offers advice on suitable ways to comply with laws and regulations on financial crime. It also highlights areas of concern and suggests processes and procedures that should be considered.

It is important to note that the UK has statutory provisions and therefore any breach of the regulations represents a criminal, rather than a civil, matter.

The rules themselves have been through many changes over the years and have both increased and decreased in their depth and scope. Initially drafted by experts in each individual field of financial services (the so-called coloured books), the rules have now been consolidated and reflect the UK's interpretation of relevant EU legislation as implemented into ...