ECSH40500 - Introduction: Who needs to register?

The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (MLR 2017), apply to a number of different business sectors, including designated non-financial businesses and professions and financial services. These businesses are included in the scope of MLR 2017 because they may be susceptible to being used for money laundering, terrorist financing or proliferation financing. For more detailed information see GOV.UK.

Businesses which fall within the scope of MLR 2017 must be monitored for anti-money laundering purposes by a supervisory authority. The supervisory authorities under MLR 2017 are HMRC, the Financial Conduct Authority (FCA), the Gambling Commission and the professional body supervisors listed in schedule 1 MLR 2017. This is set out in regulation 7 MLR 2017.

Business sectors supervised by HMRC

HMRC is the supervisory authority for the 9 business sectors listed below:

Please note, businesses that want to register with Companies House to become an Authorised Corporate Service Provider (ACSP) must be supervised under MLR 2017. This means that businesses may try to register with HMRC so they can then apply to be an ACSP with Companies House. If a business is out of scope of MLR 2017 it cannot be an ACSP.

ASPs and TCSPs are the most likely businesses supervised by HMRC to also be ACSPs, but technically any AML supervised business could be registered as an ACSP. Companies House may contact HMRC to confirm the registration status of an ACSP.

For more information on the role of ACSPs, please see Companies House.

ASPs, TCSPs, EABs and LABs who are supervised for anti-money laundering (AML) by a professional body supervisor do not need to register with HMRC for supervision.

MSBs, TCSPs, BPSPs or TDITPSPs supervised by the FCA do not need to register with HMRC. However, businesses that are registered with and have permissions from the FCA to provide payment services are not automatically supervised for AML purposes by the FCA. For more information see ECSH41500.

When a business is already supervised for AML purposes see guidance at ECSH41000.

A business must not act as an MSB or a TCSP until their registration has been confirmed as successful by HMRC and the business and all its beneficial owners, officers and managers (BOOMs) have been determined to be fit and proper persons.

All other businesses, listed above, who have applied to register can carry out business activity in the relevant sector/s whilst their application is being determined.

Businesses that trade whilst unregistered will be in breach of MLR 2017 and can be subject to civil sanctions, such as a fine, or face criminal prosecution. For more information on penalties, see ECSH82500.