Helen Goodman – 2016 Parliamentary Question to the Home Office

The below Parliamentary question was asked by Helen Goodman on 2016-01-13.

To ask the Secretary of State for the Home Department, what steps she is taking to prevent laundered money entering the London housing market.

Mike Penning

The Government is committed to protecting the integrity of our financial system and to ensuring that the UK is a hostile environment for illicit finance, to protect our national security and promote growth. The Government is also committed to ensuring that we maintain a robust and proportionate anti-money laundering regime.

Her Majesty’s Revenue and Customs (HMRC) is the anti money laundering supervisor of estate agents and takes a robust, intelligence led approach to ensuring compliance with the Money Laundering Regulations 2007 (the Regulations). An estate agent should not operate as such unless they are registered with HMRC under Regulations. It is an offence to carry out relevant business without registering with HMRC and the Estate Agency Business (EAB) may be penalised or face criminal prosecution if they fail to do. All those dealing with property transactions in the UK are regulated for money laundering purposes, including banks, the legal and accountancy sectors, and estate agents, and are required to report suspicious activity to the National Crime Agency. The Suspicious Activity Reports regime is currently being reviewed to make it a more effective mechanism for identifying money laundering and terrorist financing.

The National Risk Assessment of money laundering and terrorist financing was published on 15 October 2015. This identified the threats and vulnerabilities we face in these areas, and an Action Plan will be published shortly, setting out the steps that the Government will take to address them.

The Prime Minister made clear in his Singapore speech on corruption last year that the Government is determined to make sure the UK does not become a safe haven for corrupt money. As a first step he asked the Land Registry to publish data on which foreign companies own which land and property titles in England and Wales. The Prime Minister’s Anti-Corruption Summit in May will also consider what more the Government can do to tackle flows of illicit finance at home and abroad.