New Money Laundering Directives and ID Requirements

The new sixth Anti Money Laundering Directive has now been in effect for some months, and the deadline to comply with the directive was the 3rd June 2021, and applies to all financial institutions.

Below is a list of the types of companies that are required to comply with the six AMLD, although this list is not exhaustive:

  • Banks and Credits Institutions
  • Stockbrokers and Investment Firms
  • Insurance Companies and Insurance Intermediaries
  • Auditors, Accountants, Bookkeepers, Tax Advisors
  • Property Dealers and Estate Agents
  • Trust or Company Formation and Management
  • Legal Services
  • Companies Trading in Goods for Cash of at least £13,000
  • Auction Platforms
  • Crypto Currency Trading Platforms and Brokerage
  • Art dealers with cash transaction

This directive is much tougher than the previous regulations, and more emphasis is placed on the financial institutions to fight against money laundering and terrorism.

Some of the key points of the six AMLD are as follows:

Harmonising the Definition of Money Laundering across the EU –

The list of offences has been increased by a further 22 offences, which are included as part of this directive, and now constitute money laundering. The purpose of the list of offences is to remove any loopholes in our current regulators which may allow criminals to escape prosecution. For example, one of the offences that are included within the list of offences – Cybercrime.


The new directive aims to extend the criminal activity to include legal persons, such as partnerships and even companies. It also covers those who are acting on the companies’ behalf, i.e. consultants, lawyers and accountants. This means that a legal person maybe found guilty of money laundering. Previously only individuals and organisations that benefited from money laundering were prosecuted, so this is a big change as it now extends to anyone. The new directive also takes into account acts of admission to i.e where a director has failed to put strict compliance policies and controls in place to identify and prevent the crime.

Stronger Punishments

The new directive changes the minimum prison sentence from one year to four years, for money laundering offences, and also fines can be given.

The Six AMLD also includes severe punishment for corporate and individual offenders, i.e disqualification or even the closure of the establishment which was used to commit the money laundering offence.

You may wonder what significance this has on you since we are no longer part of the EU. Although the UK has opted out of complying with any further AMLD regulations. It is important to add that any UK regulated business in the finance sector will need to comply with this new article.

In respect of will writers specifically, it is important therefore for any will writer or establishment taking instructions from a client for a new will should obtain two forms of ID, and if there is joint will from each of your clients. One must be a photo ID and the other must be proof of address (within 3 months of the instructions).

As our firms policy, we also note that we will not accept a cash payment of more than £500.

If you need advice please contact us.