We are publishing finalised guidance for how financial services firms should treat customers who are politically exposed persons when meeting their anti-money laundering obligations.
In March 2017, we consulted on guidance (GC17/2) in connection with politically exposed persons (PEPs). We received feedback from a wide range of stakeholders representing both the mortgage industry and consumers. A summary of the feedback received has been published alongside the finalised guidance.
Our response
This publication offers guidance on the following issues:
- we expect firms to take appropriate but proportionate measures in meeting their financial crime obligations
- the guidance provides clarity on how firms should apply the definitions of a PEP in the money laundering regulations in the UK
Who this applies to
This guidance is aimed at any institution that has its anti-money laundering systems and controls overseen by us. It discusses how they can meet their obligations when opening new relationships or monitoring existing relationships. It applies only to business relationships undertaken in the course of business in the UK.