Transition of AML regulation to FCA

On 21 October 2025, the UK Government announced its intention to transfer anti-money laundering (AML) regulation for all professional services in the UK to the Financial Conduct Authority (FCA).

The FCA will become the single professional services supervisor for AML in due course. This includes the legal profession, the accounting profession and other professional services.

The government’s decision makes no immediate changes. However, AML supervisory responsibilities currently held by the Law Society of Scotland will be discontinued in the future, with oversight responsibilities transferring to the FCA.

The implementation of this decision will require primary legislation to be passed by both Houses of Parliament, delivery of an execution plan and the completion of a period of transition.

This means that a transfer of AML supervisory responsibilities from the Law Society of Scotland to the FCA is not likely to take effect for a considerable period.

At this stage, detailed information regarding the proposed supervisory approach or associated timelines has not yet been released by the government.

The Law Society of Scotland continues to serve as the designated AML supervisor for the legal sector in Scotland and remains committed to ensuring a continuing high standard of supervision. We will continue to keep our members updated.

The UK Government’s announcement can be read here.