Looking ahead – Future regulatory change and its impact on Veriphy clients

The next three years will bring the most significant overhaul of UK AML regulation in more than a decade, and Veriphy users will be directly affected. 

UK Money Laundering Regulations – Focusing on risk 

HM Treasury is finalising amendments to the UK Money Laundering Regulations, introducing proportionate but more targeted due diligence requirements—particularly narrowing enhanced due diligence (EDD) to unusually complex or unusually large transactions and limiting high‑risk third country triggers to FATF “call for action” jurisdictions. 

This shift is intended to reduce unnecessary checks while sharpening scrutiny where real risk exists. Veriphy will be announcing new developments designed to assist our clients with this change. 

FCA – Audit and evidence 

A major structural change is also on the horizon: the Financial Conduct Authority (FCA) will become the single AML supervisor for legal, accountancy and trust‑and‑company‑service providers with full implementation expected around 2029, replacing 22 separate professional body supervisors. As legislation and consultations mean this shift is will not to take effect immediately, affected firms should anticipate tighter supervisory expectations, increased data‑sharing requirements, and the possibility of dual accountability during the transition. Preparing for more consistent, FCA‑aligned audit trails and evidence standards will be essential. Again, Veriphy extensive suite of AML compliance solutions will be able to assist in this. 

Crypto – enhanced Due Diligence and governance requirements 

Cryptoasset Regulation is undergoing an even more dramatic transformation. From 2026 onwards, the UK is moving from simple AML registration to a full FCA authorisation regime for crypto activities, imposing capital standards, governance rules, operational resilience, and enhanced monitoring. For Veriphy users serving crypto‑exposed clients—or those onboarding businesses in the digital‑asset ecosystem—this means more stringent identity verification, more detailed audit logging, and higher expectations for continuous monitoring. The convergence of AML and financial‑services‑style regulation will make robust, API‑driven KYC and screening tools increasingly vital.   

The EU and AMLA – Uniformity and higher expectations 

The EU is progressing rapidly towards its Single AML Rulebook and the launch of the Anti‑Money Laundering Authority (AMLA). By 2027, directly applicable regulations—including new customer due diligence standards, lower thresholds for identifying business relationships, and harmonised risk‑assessment expectations—will apply across Member States. AMLA’s 2026–2028 work programme emphasises supervisory convergence, consistent CDD rules, and expanded public consultations, signalling a future where cross‑border compliance becomes more uniform but also more demanding. Organisations operating in or serving EU markets via Veriphy will need to prepare for more prescriptive requirements and potentially higher data‑quality expectations in identity verification processes. 

Summary 

Taken together, these UK and EU changes point toward an environment where AML systems must be more adaptive, more evidence‑driven, and more tightly integrated into enterprise risk frameworks. For Veriphy users, the implications are clear: dynamic risk assessment, granular due‑diligence configuration, and clean; auditable data will become non‑negotiable. As regulators reduce ambiguity and narrow definitions, platforms like Veriphy will continue to play an increasingly central role in helping firms meet regulatory expectations without adding unnecessary operational burden—making now the ideal time for users to review system settings, reporting processes, and automated workflows to stay ahead of the incoming regulatory wave. 

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