The UK has today published its 4th National Risk Assessment (NRA) of Money Laundering (ML) and Terrorist financing (TF), jointly developed by HM Treasury and the Home Office.  

The NRA (July 2025) is available  from the GOV.UK website here.

The NRA draws on information collected by the Government, supervisors, law enforcement agencies, and the private sector.  This updated assessment takes account of the latest developments and information since the previous publication in 2020.  

The NRA is an essential tool in ongoing efforts to tackle money laundering and terrorist financing, providing a clear and comprehensive assessment of the current and emerging threats. It sets out how criminals try to move illicit funds through the UK and the risks this poses.  

 

For the regulated sector, including solicitor firms, it provides essential insight into how their services may be exploited for illicit purposes, and guidance on how these threats can be identified and mitigated.

 

Headline findings include:

  • The UK continues to be exposed to a high level of money laundering risk. Since 2020, the wider context has shifted due to increasing global insecurity, which has altered the risk landscape and the methodologies used by criminals.   
  • There is growing convergence between money laundering, kleptocracy, and sanctions evasion. Sanctioned entities and individuals have sought to obscure links to their funds by exploiting established money laundering networks.  
  • Risks associated with cash-based money laundering in the UK remain high, including cash smuggling and the use of money mules and the exploitation of legitimate channels for inserting criminal proceeds into the banking system.  
  • The terrorist financing threat in the UK continues to be characterised by low levels of funds, often raised for basic living costs, low sophistication attacks, or for sending overseas for terrorist causes.
  • Terrorist financing continues to exploit a wide range of mechanisms, both illicit and legitimate, increasing the potential for regulated sectors to be used to generate, store, move, and access funds for terrorist purposes.