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FCA imposes restrictions on six Annex 1 firms in the UK

The Financial Conduct Authority (FCA) has imposed voluntary restrictions on six unregulated lenders due to concerns over their anti-money laundering controls and procedures. These restrictions limit the firms' ability to take on new customers or conduct new business.

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The Financial Conduct Authority (FCA) has imposed voluntary restrictions on six Annex 1 firms as of October 23, 2026. The restrictions limit these firms' ability to take on new customers or conduct new business, including extending existing credit.

The FCA's action is part of its enhanced oversight of Annex 1 firms, which are required to register under the Money Laundering Regulations but are not fully regulated by the FCA. The FCA has raised concerns regarding the firms' anti-money laundering policies, controls, and procedures.

The restrictions apply to the six unregulated lenders identified as Annex 1 firms. These firms operate in sectors that present a heightened risk of money laundering and other financial crime.

The FCA has warned that firms failing to demonstrate effective systems and controls to manage financial crime risks may face further regulatory action. Regulated firms must conduct due diligence when dealing with Annex 1 firms to understand the associated risks.

Source: FCA, official publication, retrieved 2026-10-23

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