AML stands for anti-money laundering. It's the set of laws, checks and teams that stop criminals passing off dirty money as clean. In the UK, banks, payments firms, law firms, accountants and many other businesses have to run AML checks by law, and that work employs thousands of people.
Here's what it means in plain English, and what kinds of jobs it creates.
What is money laundering?
Money laundering is hiding where criminal money came from so it can be spent freely. It usually happens in three stages:
- Placement. Getting the cash into the financial system, for example by paying it into bank accounts in small amounts.
- Layering. Moving it around to blur the trail. That might mean transfers between accounts, companies or countries, or buying and selling assets.
- Integration. Bringing it back as money that looks legitimate, such as profits from a business or the proceeds of a property sale.
AML work tries to catch the money at any of those stages.
Who has to do AML checks in the UK?
The Money Laundering Regulations 2017 set out which businesses must run AML controls. They include:
- Banks and building societies
- Payments and e-money firms
- Cryptoasset businesses
- Law firms and accountants
- Estate and letting agents
- Casinos
- Trust and company service providers
Each one is checked by a supervisor. The FCA supervises financial firms. HMRC and professional bodies like the SRA cover many others. That's set to change for law firms and accountants, as we explain in our piece on the FCA taking over AML supervision.
What does AML work actually involve?
Customer due diligence (CDD). Checking who a customer is and what they're likely to do with their account. You'll often hear this called KYC, short for know your customer.
Enhanced due diligence (EDD). Deeper checks on higher-risk customers, such as politically exposed persons (PEPs) or people linked to high-risk countries.
Sanctions screening. Making sure the firm doesn't deal with sanctioned people, companies or countries.
Transaction monitoring. Reviewing alerts on payments that look unusual and deciding whether they're suspicious.
Suspicious activity reports (SARs). Reporting suspicions to the National Crime Agency.
Risk assessment, policy and training. Working out where the firm's risks are, writing the rules staff follow and teaching people to spot red flags.
What are the main UK AML laws?
- Proceeds of Crime Act 2002. Makes money laundering a crime and sets the duty to report suspicions.
- Terrorism Act 2000. Covers terrorist financing.
- Money Laundering Regulations 2017. Set out the checks firms must run. They've been amended several times, most recently in 2026.
- Sanctions and Anti-Money Laundering Act 2018. The basis for the UK's own sanctions regimes.
What jobs are there in AML?
KYC or CDD analyst. Checks new and existing customers. A common first job in compliance. See live KYC jobs.
AML or transaction monitoring analyst. Reviews alerts and investigates unusual activity. See live AML jobs.
Financial crime investigator. Digs into complex cases and writes up SARs.
Sanctions analyst. Screens customers and payments against sanctions lists. See sanctions jobs.
MLRO. The Money Laundering Reporting Officer is the senior person accountable for a firm's AML controls and its reports to the National Crime Agency. See MLRO jobs.
How do you get into AML?
Most people start as a KYC or AML analyst. You don't need a finance degree, and many teams hire graduates and career changers and train them on the job. Start with our guides to getting your first compliance job with no experience and why a KYC or AML career is worth it. When you land an interview, read how to prepare for an AML interview.
Every role on Direct Compliance sends your application straight to the employer, with no recruiter in the middle.
FAQs
What does AML stand for?
Anti-money laundering. It covers the laws, checks and teams that stop criminal money entering the financial system.
Is AML the same as KYC?
No. KYC, or know your customer, is one part of AML. It's the checks on who a customer is. AML also covers monitoring, investigations, sanctions screening and reporting.
What does an MLRO do?
The MLRO runs a firm's AML controls, decides which suspicions get reported to the National Crime Agency and reports to senior management on financial crime risk.
Do I need a qualification to work in AML?
Not to start. Many analysts get hired first and take a qualification later, often an ICA certificate. Read whether ICA accreditation is worth it.
Read next: The AMLAR Strategy 2026-2029: What You Need to Know and What Makes a Good MLRO in 2026: The Qualities Firms Actually Need.