| Link(s) | FCA censures Institute of Certified Bookkeepers for failings in anti-money laundering supervision | FCA Final Notice 2025: Institute of Certified Bookkeepers |
Context
The FCA censures the Institute of Certified Bookkeepers (ICB) for serious failings in anti-money laundering supervision, which is the FCA’s first enforcement outcome against a professional body supervisor.
Key points to note and next actions
The ICB is a professional body supervisor responsible for overseeing the AML compliance of over 3,000 bookkeepers under the Money Laundering Regulations 2017. Between January 2022 and July 2023, ICB breached key AML regulations relating to its role as an AML supervisor, thereby increasing the risks of financial crime amongst members.
It failed to adopt an adequate risk-based approach to its supervisory functions and did not effectively monitor its members. The most serious breaches were caused or made worse by ICB’s decision to suspend all inspections – both onsite and virtual – for nine months.
Therese Chambers, joint executive director of enforcement and market oversight at the FCA, said: ‘Anti-money laundering rules stop criminals from exploiting the financial system and help protect people, businesses and wider market trust. Strong AML supervision matters because it ensures these safeguards work in practice. This outcome demonstrates that the FCA is prepared to take enforcement action against professional body supervisors where their oversight of member organisations falls below the high standards we expect.’
The Government has recently announced planned reforms to make the FCA the Single Professional Services Supervisor, aiming to deliver a more effective approach to combatting illicit finance. These reforms will take time to implement. In the interim, OPBAS will continue to work with professional body supervisors to ensure compliance with AML regulations. For more information, you can read the Final Notice issued to ICB.