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Anti-money laundering in the property sector - PCVdigital’s founders answer questions about the increasing importance and complexity of compliance requirements
Summary of article appearing in Estates Gazette, 08 December 2025
Anti-money laundering (AML) requirements for the UK property sector have become significantly stricter and more complex. Property is a major target for money laundering because transactions involve large sums, complex ownership structures, and cross-border activity that can hide the true source of funds. Rental income can also be used to make illicit money appear legitimate .
We can expect much closer scrutiny of property professionals. The Financial Conduct Authority (FCA) is expected to become the main supervisor for AML for property services. Since May 2025, letting agents have also been brought fully into AML regulation, greatly expanding the number of businesses required to comply. HMRC and the Office of Financial Sanctions Implementation (OFSI) are actively enforcing the rules, with over £3.2 million in fines issued to agents in the past year alone.
The biggest risks for agents are inconsistent processes, poor record-keeping and over-reliance on third-party AML providers. Regulators expect firms to demonstrate a repeatable, firm-wide process and to produce evidence instantly. Failure can result in unlimited fines and even personal liability for nominated officers. Letting agents must now also report suspected sanctions breaches.
Data protection and GDPR compliance are critical issues too. Outsourcing AML checks can expose clients’ sensitive data to security and reputational risks. The article argues that agents should ensure control of client data within secure platforms.
An ideal AML process should be automated, consistent, transparent and fully controlled by the agent, with real-time dashboards, audit-ready reports and strong security. When regulators inspect a business, it must be able to show who performed checks, when they were done, how risks were assessed, and that all records are available.
Finally, AML laws apply to everyone involved in property transactions across both residential and commercial property. Any business without a clear, demonstrable AML process is at risk of regulatory action.
In April, Marks & Spencer (M&S) was hit by a sophisticated ransomeware attack that sent shockwaves through the business
This article appears in Property Week, 26 November 2025
The hacking group DragonForce reportedly infiltrated internal email systems and encrypted critical servers, leading to catastrophic financial damage: £300m lost in trading profits, a £1bn drop in market value and disruption to online operations that lasted well into autumn.
M&S isn’t alone. Harrods and the Co-op have also been recent victims of cyber-attacks – adding to a growing list of high-profile breaches in the UK retail sector. These attacks serve as a stark warning: if large, well-funded enterprises with dedicated IT security teams can be compromised, what does that mean for smaller industries that also rely on data – particularly property?
Property businesses, both residential and commercial, handle highly sensitive data every day, from personal identification and financial records to signed contracts and proof-of-funds documentation. As such, the sector is likely to be a prime target for cybercriminals. And unlike the retail sector, many property firms lack in-house cybersecurity expertise or dedicated compliance infrastructure.
This is why we’re calling on property professionals to take a hard look at their data security and AML workflows. Is customer data being stored securely, and by whom? Does everyone who has access to that information actually need it? Are your compliance processes consistent, well documented and auditable? Can you say with confidence that your technology solutions meet GDPR standards, protect your business in the event of a cyber-attack and offer a clear line of oversight and control?
Agents face more scrutiny as AML enforcement is beefed up
This article appears in Letting Agent Today, 24 October 2025
An anti-money laundering (AML) expert says a likely change in AML enforcement should be taken seriously by agents.
The Financial Conduct Authority (FCA) is set to become the single regulator for anti-money laundering to cover legal, accountancy and trust and company service providers. This follows a government consultation on AML reforms where it proposed a single professional services supervisor.
Now Martin Carey, co-founder of the property-focussed AML platform PCVdigital, says this will put the property sector under increased scrutiny.
“Whilst some may regard the obligations on their businesses as tortuous, we have to keep in mind that it really is in every property professional’s interest to have the sector able to successfully avoid being used for illegitimate purposes, and no residential or commercial estate agency business or consultancy wants to find themselves unintentionally becoming a party to fraud or money-laundering” he says.
Anti-money laundering: increased scrutiny for the property sector
This article appears on iHOWZ.uk
There are going to be significant upcoming change to the UK’s Anti-Money Laundering (AML) enforcement regime and its direct implications for estate agents and property professionals.
The government is moving to a single professional services supervisor, with the Financial Conduct Authority (FCA) set to become the regulator for AML across the legal, accountancy, and trust and company service providers.
Increased Scrutiny: Martin Carey, co-founder of the property-focussed AML platform PCVdigital, states that this consolidation and focus will place the property sector under increased scrutiny.
Government Seriousness: The expert warns that rising fines and this regulatory overhaul mean that “HMRC and the Government have never been more serious” about tackling financial crime.
Government has unveiled major estate agency reform in AML
The government has announced its decision to hand AML oversight responsibilities to the Financial Conduct Authority (FCA). This means that effective regulatory compliance is going to become even more critical.
Whilst some may regard the obligations on their businesses as tortuous, we have to keep in mind that it really is in every property professional’s interest to have the sector able to successfully avoid being used for illegitimate purposes, and no residential or commercial estate agency business or consultancy wants to find themselves unintentionally becoming a party to fraud or money-laundering.
Martin: “It’s important now for the estate agency businesses and consultancies to look ahead and consider how they are tackling AML. Particular attention is needed on consistency of the AML process, and how they can use digital tools in a more integrated way to strengthen their adherence to policies. In our view, too many of the solution providers in AML focus on components, leaving estate agents to work out the rest themselves. PCVdigital helps you to solve that problem.”
When HMRC or OFSI come knocking, what should an agent be able to show?
Adam: “You need to be able to demonstrate your compliance instantly — not after days of scrambling for documents. That means showing exactly who in your team carried out each check, when it was done, and what the result was. Regulators will also want to see that you have clear policies and procedures in place, and that they are followed consistently across your business. If any red flags were raised, you need to prove they were escalated and reported properly. And of course, all of your records must be secure, auditable, and preserved — including documents, data trails, and evidence of decision-making. With PCVdigital, all of this is available at the touch of a button.”
What compliance risks are agents facing today?
Martin: “The biggest risk is inconsistency. If you can’t demonstrate a firm-wide, repeatable process, and produce evidence quickly, you’re exposed to unlimited fines and even personal liability as the nominated officer with HMRC. With letting agents now required to report suspected sanctions breaches directly to OFSI, there’s zero room for error. Our platform ensures every transaction is dealt with in uniform, and every record is auditable at the click of a button.”
Why is GDPR and data security such a critical consideration in compliance?
Adam: “GDPR compliance is non-negotiable, and the reputational risks of a data breach are huge — as we’ve seen from recent high-profile hacks. When you outsource AML checks to a third-party, customers are effectively handing over their sensitive documents to an unknown brand. That’s poor for customer experience and increases the risk of confidentiality breaches. With PCVdigital, personal data remains under the agent’s control, securely stored, and only the verification record is linked into the CRM. That keeps the process seamless and secure.”
What should an ideal AML / sanctions process look like?
Adam: “An ideal process should be consistent, transparent, and completely under the agent’s control. Every transaction needs to be handled in the same way, which is where automated workflows really help. At the same time, agents should have real-time dashboards and audit-ready reports, giving them visibility of their compliance status across the whole portfolio of business. By branding the process to the agent, clients feel more comfortable sharing their information with the people they already know and trust. And in today’s environment, GDPR-compliant data management and security must be key components, protecting both the client and the business from unnecessary risk. That means using tools which limit access to personal data only for authorised staff members.”
How does PCVdigital improve the AML/KYC process compared to existing solutions?
“Most AML platforms were built for the finance industry, not for property, so they often don’t follow the transaction journey agents and other property professionals actually deal with and certainly don’t build in room for the nuances that only real estate specialists are privy to. With PCVdigital, we’ve mirrored that process step by step and automated it. All an agent needs to do is add a customer’s email address — the system does the rest. It runs the checks, flags anything missing or expiring, and provides alerts if something doesn’t look right. It can manage thousands of records and archive completed transactions for as long as required. That means less admin, fewer inconsistencies, and a process that’s aligned with HMRC requirements.”
Martin: “PCVdigital is the first AML and KYC platform created specifically for property professionals. It delivers a complete compliance toolkit, fully aligned with HMRC and OFSI obligations, so agents can demonstrate robust processes instantly which is crucial if HMRC come knocking, which they can do at any point. The system gives real-time visibility with clear traffic-light reporting and a complete audit trail, making it easy to show who did what and when. Because it’s fully branded to the agent, customers remain within a trusted environment, not redirected to a third party. And critically, with GDPR compliance and advanced security built in, agents keep control of sensitive information and reduce the risks of data breaches.”
Why did you decide to create PCVdigital?
Martin: “Agents are under increasing pressure from HMRC and OFSI to demonstrate robust, auditable AML processes. In the past 12 months alone, over £3.2m of fines have been issued to agents, sometimes simply for failing to register or re-register for supervision. What concerned me most is that many agents rely on third-party providers who collect client data, run checks, and interact directly with customers. That creates inconsistency, increases costs, and puts the reputation of the agent in someone else’s hands. We wanted to build a property-specific tool that removes those risks, automates AML and KYC checks, and gives agents confidence that compliance is always in their control.”