Justice Secretary David Lammy is set to declare that the United Kingdom will no longer serve as a safe haven for illicit wealth, unveiling a robust new strategy to combat corruption both at home and abroad.
A New Front Against Illicit Finance
In a major speech in London on Monday, the Deputy Prime Minister will announce a series of initiatives designed to dismantle the networks that allow corrupt actors to hide their assets. A key element is a £15 million funding injection for the City of London Police's domestic corruption unit, which investigates bribery and misconduct within UK financial services and public bodies.
Lammy will argue that while most British lawyers and accountants operate with integrity, a minority act as "professional enablers" for foreign autocrats and criminals. "We must root out the minority who help corrupt actors hide their dirty money and polish their dirty reputations," he will state, according to pre-released extracts.
Targeting Crypto, Gold, and Property
The government's plan extends beyond traditional finance. The Guardian understands that the UK intends to host a global summit on countering illicit finance, potentially next year, which will focus on the underhanded use of cryptocurrencies, gold, and property to launder money.
Furthermore, former Labour MP and noted anti-corruption campaigner Margaret Hodge will lead an official review into stolen or illegitimate assets within the UK. This aims to close legal loopholes by expanding transparency registers from companies to more opaque structures like trusts.
Cleaning House: From Public Services to Complex Fraud
The crackdown has a dual focus, targeting misconduct within the UK's own institutions as well as international money flows. Lammy will highlight the risk posed by a corrupt minority within public services, stating that bribes can put "more drugs and weapons on to our streets."
In a controversial move, the complexity of modern money laundering will be used to justify plans for judge-only trials in the most complex fraud cases. Lammy will argue that specialist judges are better equipped than juries to handle such intricate evidence, promising faster justice.
Drawing on his experience as foreign secretary, Lammy will link dirty money to global instability, citing how kleptocrats "bankroll authoritarianism [and] fuel conflict," like Russia's war in Ukraine. He will vow that London's trusted financial system will no longer be exploited, declaring: "We will stop them."
