An important update has been released by the SRA which will be welcome news if your firm has been following the previous guidance and have not been charging clients for undertaking Client Due Diligence which includes Know Your Client (KYC) and AML Anti Money Laundering (AML) checks.

1. Client Due Diligence and Charging Clients
A n i m p o r t a n t u p d a t e h a s b e e n r e l e a s e d b y t h e S R A w h i c h w i l l b e w e l c o m e
n e w s i f y o u r f i r m h a s b e e n f o l l o w i n g t h e p r e v i o u s g u i d a n c e a n d h a v e n o t
b e e n c h a r g i n g c l i e n t s f o r u n d e r t a k i n g C l i e n t D u e D i l i g e n c e w h i c h i n c l u d e s
K n o w Y o u r C l i e n t ( K Y C ) a n d A M L A n t i M o n e y L a u n d e r i n g ( A M L ) c h e c k s .

2. Client Due Diligence and Charging Clients
An important update has been released by the SRA which will be welcome news if your firm has been following the previous guidance
and have not been charging clients for undertaking Client Due Diligence which includes Know Your Client (KYC) and AML Anti Money
Laundering (AML) checks.
The updated guidance is as follows –
“The costs of customer due diligence can vary depending on the type of client and level of money laundering risk they pose. You can
pass the costs of customer due diligence onto your clients, however, the cost will need to be clearly stated in the firm’s terms and
conditions and you must abide by any relevant sections of the Transparency Rules.
It is important that clients are informed of and understand the cost in advance as this will enable them to instruct an alternative firm if they
are not agreeable to the cost.”
To ensure you comply with the rules your firm must update your client care letter and ensure that it is very clear on the costs
associated with CDD and importantly update the firm’s website transparency pages with the same information.

3. Client Due Diligence and Charging Clients
The link to the SRA website is as follows:
https://www.sra.org.uk/solicitors/resources/money-laundering/money-laundering/
For more information on The Strategic Partner’s solutions for working with law firms to ensure they are and remain compliant
with the SRA codes of conduct and other regulations and legislation visit our website.
https://www.thestrategicpartner.co.uk/law-firm-support/regulation-and-compliance-including-aml/
https://www.thestrategicpartner.co.uk/law-firm-support/compliance-administration/
To discuss how we can work with your firm and your COLP, COFA and MLRO you can call us on 0203 9119710 or email
us info@thestrategicpartner.co.uk and we will contact you.

4. For more information on The Strategic Partner and to discuss how we may be able to assist in accelerating your
risk management or compliance and regulation or simply to keep this up to date you can call us on
020 3911 9710 or email us info@thestrategicpartner.co.uk.
The Strategic Partner provides essential support to law firms. We offer a range of services and consultancy tailored to
the Legal sector including guidance and services for regulation and compliance including AML. We have gained a wealth
of knowledge and experience in the overall management of law firms and work with them to achieve profitability, stability,
and efficiency. Our goal is to become a valued and respected partner to our member law firms providing high-quality
services and solutions at all times.
We would be very happy to discuss your current approach to regulation and compliance and how our services will assist
you in ensuring your firm is protected.
How we can help
www.thestrategicpartner.co.uk
0203 911 9710