National Strategic Assessment 2020
What are the issues - Tackling suspicious gambling activity
The UK regulatory framework is considered a global leader in working with partner agencies to prevent economic crime. The mutual evaluation report of the Financial Action Task Force praised the Gambling Commission’s understanding of money laundering and terrorist ﬁnancing risks. The report commended the risk-based approach to our supervisory role 45.
As the operators we license and regulate are increasingly operating in a global market, we have spent time sharing intelligence with international regulators to make gambling safer and crime free.
All gambling operators have a responsibility to keep economic crime out of gambling, but non-remote and remote casinos have additional responsibilities under the Money Laundering Regulations. Areas where operators fail often include:
Insufficient depth of knowledge demonstrated by Personal Management Licence holders which has led to concerns as to competence and integrity.
Operators adopting a ‘one size ﬁts all’ approach to their Risk Assessment when it should be tailored to the speciﬁc Money Laundering and Terrorist Financing (MLTF) risks relevant to their business.
Failure to adequately demonstrate their Risk Assessment has due regard to the Commission’s Risk Assessment and that they are keeping up to date with ﬂuctuating standards in alternative jurisdictions whilst rigorously meeting GB legislation and standards.
Where the over-arching Risk Assessment is deﬁcient, this leads to ineffective policies, procedures and controls.
Licensees and PML holders failing to learn lessons from published compliance and enforcement activity and applying controls in their business.
Failure to provide regular, quality training to staff including Money Laundering Reporting Officers and Nominated Officers.
Demonstrating a static and ineffective approach to customer risk proﬁling and enhanced customer due diligence when it should be dynamic and capable of identifying both current and developing risks
We will continue to apply international best practice through the implementation of the Money Lauundering Regulations and by updating our Money Laundering risk assessment.
What are the issues - Unlicensed gambling Next section
What are the issues - Integrity
Last updated: 15 November 2022
Show updates to this content
Following an audit the 'Financial Action Task Force - Fourth round mutual evaluation report' link has been updated.