This informal CPD article ‘The evolution of Anti-Money Laundering regulations: What FS professionals need to know’ was provided by LRN Corporation, a dedicated ethics and compliance company, educating and helping people each year worldwide navigate complex legal and regulatory environments and foster ethical cultures.
Money laundering is often described as the “lifeblood” of organised crime. By concealing the origins of illicit funds, criminals can integrate their profits into the legitimate economy, undermining financial integrity and posing risks to global security. For professionals in financial services, keeping pace with anti-money laundering (AML) regulations is not just a compliance obligation—it is a professional imperative.
In this article, we explore how AML regulation has evolved, the frameworks that shape it, and why CPD-accredited training can be vital for maintaining credibility, competence, and career growth in an increasingly complex environment.
From early legislation to global standards
The roots of modern AML regulation stretch back to the 1970s and 1980s, when governments first began recognising the financial system’s vulnerability to criminal exploitation. In the UK, the Proceeds of Crime Act (POCA) 2002 (2) became a cornerstone, criminalising money laundering and setting obligations for firms to report suspicious activity. Across the Atlantic, the US introduced the Bank Secrecy Act (6), later reinforced with the USA PATRIOT Act after 9/11.
At the global level, the Financial Action Task Force (FATF) (1), established in 1989, provided a framework of 40 Recommendations that continues to influence AML standards worldwide. These recommendations have been refined repeatedly, broadening the scope from drug trafficking to terrorism financing, proliferation of weapons of mass destruction, and more recently, virtual assets and digital finance.
The European and UK landscape
Europe has been a leader in shaping AML standards. Successive Anti-Money Laundering Directives (4AMLD, 5AMLD, 6AMLD) (4) have progressively expanded obligations, strengthened customer due diligence, and increased personal liability for compliance failings.
In the UK, post-Brexit, regulators have aligned closely with EU principles while tailoring rules to local risks. The Money Laundering Regulations 2017 (3), which are frequently updated, remain the backbone of compliance. The Financial Conduct Authority (FCA) (5) has also sharpened its expectations, emphasising risk-based approaches, strong governance, and evidence of effective workforce training.
Emerging challenges: Technology, crypto, and ESG
AML regulation is no longer confined to traditional banking. Cryptocurrencies, decentralised finance, and fintech innovation have introduced new vulnerabilities. Regulators are adapting, but firms must ensure their teams can recognise and respond to these risks in real time.
AML is also increasingly linked to broader ESG concerns. Sanctions evasion, human trafficking, and the misuse of complex corporate structures highlight how financial crime intersects with reputational and ethical risks. Professionals who understand these interconnections are better positioned to guide their organisations responsibly.
Professional growth through CPD-accredited AML training
The regulatory landscape may set the framework, but individuals bring compliance programmes to life. This is where CPD-accredited training makes a difference—not just for meeting obligations, but for building professional credibility and career progression.
High-quality AML training enables professionals to:
- Stay current: Understand regulatory updates such as 6AMLD, FCA expectations, and FATF priorities.
- Apply knowledge Practically: Develop skills in customer due diligence, suspicious activity reporting, and risk-based assessments.
- Navigate new risks: Gain confidence in addressing crypto-related threats, sanctions regimes, and ESG-linked financial crime.
- Enhance professional standing: CPD accreditation demonstrates a verified commitment to lifelong learning, strengthening trust with regulators, employers, and clients.
- Advance careers: AML expertise, backed by CPD, positions professionals as trusted leaders in compliance and risk management.
Unlike one-off workshops or policy briefings, CPD-accredited programmes ensure knowledge is continually refreshed and benchmarked against industry standards. This not only supports organisational resilience but also empowers individuals to grow their expertise and credibility.
Looking ahead
AML regulation is becoming more complex, more globalised, and more closely tied to issues of ethics and governance. For CPD professionals, this means keeping pace is about more than technical compliance—it’s about cultivating resilience, foresight, and leadership.
By engaging with CPD-accredited training, compliance professionals can transform regulatory obligations into opportunities: to strengthen their expertise, elevate their careers, and play a decisive role in protecting the integrity of the financial system.
AML is a moving target. But with the right training and commitment to professional growth, today’s compliance practitioners can remain one step ahead in the fight against financial crime.
We hope this article was helpful. For more information from LRN Corporation, please visit their CPD Member Directory page. Alternatively, you can go to the CPD Industry Hubs for more articles, courses and events relevant to your Continuing Professional Development requirements.
References
- Financial Action Task Force (FATF). The FATF Recommendations. Updated 2023. Available at: https://www.fatf-gafi.org
- UK Government. Proceeds of Crime Act 2002. Available at: https://www.legislation.gov.uk/ukpga/2002/29/contents
- UK Government. Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017. Available at: https://www.legislation.gov.uk/uksi/2017/692/contents/made
- European Union. Directive (EU) 2015/849 (4AMLD), Directive (EU) 2018/843 (5AMLD), and Directive (EU) 2018/1673 (6AMLD). Available at: https://eur-lex.europa.eu
- Financial Conduct Authority (FCA). Financial Crime: A Guide for Firms. Available at: https://www.fca.org.uk/firms/financial-crime
- US Department of the Treasury. Bank Secrecy Act (1970). Available at: https://www.fincen.gov/resources/statutes-regulations/bank-secrecy-act
