Financial crime is evolving. But the good news is, so are the tools designed to stop it. For UK businesses operating in regulated sectors, anti-money laundering (AML) screening solutions have become a necessity, not a nice-to-have.
In this guide, we’re going to answer the main questions around AML; What exactly should you expect from a modern AML solution? How do you ensure it integrates smoothly into your wider compliance ecosystem? And which features really matter when evaluating your options?
AML screening refers to the process of checking individuals and organisations against official watchlists, sanctions databases, and politically exposed persons (PEP) lists to detect potential financial crime risks. It’s a core part of any business’ broader Know Your Customer (KYC) and due diligence obligations.
Put simply, AML screening helps you answer a vital question: Can I trust this customer, partner, or transaction?
In the UK, AML regulations apply to a growing number of sectors - not just traditional financial institutions. If your business handles money, facilitates payments, or provides financial-like services, you may be required to carry out ongoing AML checks under the Money Laundering Regulations. For full compliance requirements, always refer to official guidance from HM Treasury and the FCA.
Not all AML solutions are created equal. The strongest tools strike a balance between thoroughness and efficiency - helping your team stay compliant without drowning in false positives or clunky interfaces.
Here’s what to look for:
A foundational feature. The solution should continuously scan multiple global and national watchlists (including OFSI, UN, HM Treasury lists) and flag entities that appear on them. PEP screening ensures you’re aware when dealing with individuals in high-profile or high-risk roles.
Rather than a one-time check at onboarding, real-time monitoring helps businesses detect suspicious activity as it happens - flagging changes in customer behaviour, updated sanctions lists, or new risks.
Not every alert should trigger the same response. Good systems assign risk scores based on factors like geography, transaction size, and customer profile. This allows for automated triage, with only high-risk cases escalated to compliance teams.
Businesses don’t all face the same risks. Your AML tool should let you customise rules, thresholds, and escalation paths based on your own risk appetite and regulatory requirements.
If regulators come knocking, you’ll need clear documentation. Quality AML systems generate timestamped records, decision logs, and compliance reports at the click of a button.
The obvious benefit? Staying on the right side of the law. But there’s more to it than just ticking boxes.
By screening customers, suppliers, and partners before onboarding - and monitoring their behaviour after - you can reduce your exposure to fraud, money laundering, and other illicit activity.
Automated tools cut down on manual work, freeing up your compliance team to focus on genuinely complex cases. Plus, they help ensure consistency across teams and departments.
In today’s climate, being seen as a secure and compliant business is a competitive advantage. Customers and partners are more likely to trust - and stay with - organisations that take financial crime seriously.
Done right, AML doesn’t have to be a bottleneck. Good tools integrate into your existing systems, reduce duplicate effort, and speed up onboarding without compromising rigour.
Of course, adopting new AML tech isn’t without its hurdles. Here are a few common snags - and how to get ahead of them.
Poor input leads to poor output. Incomplete or inaccurate customer records can throw off your screening results. Before you switch on a new tool, make sure your data hygiene is in order.
Too many alerts can overwhelm your team - and lead to important ones being missed. Look for a solution that uses intelligent matching algorithms and learns over time.
Will the tool work with your existing CRM, onboarding process, or payments engine? If not, you risk duplicating effort or missing key checkpoints.
AML regulations are dynamic. You need a vendor that stays up to date - and keeps you up to date - with the latest requirements and industry best practices.
There’s no one-size-fits-all answer. The best solution for your business will depend on your industry, size, risk profile, and internal resources.
That said, here are a few questions worth asking any vendor:
The more transparent and collaborative the vendor, the more confident you’ll be in your decision.
At Edenred Payment Solutions, we’re focused on making fraud prevention seamless and secure for both our clients and their own customers. Our deep understanding of the UK and EU regulatory landscape allows us to provide meaningful guidance that aligns with both local compliance expectations and evolving industry standards. Our goal is to keep our clients compliant at all times, while they can focus on delivering the payment experience their users expect.
Security isn’t an afterthought – it’s built into every stage of our services:
If you would like to learn more about our payment technology and services we offer to keep fraud at bay, get in touch with our experts.