UK art market faces new anti-money laundering regulations

Beginning this Friday, a new regulation in the UK mandates that art galleries and auction houses authenticate the identities of clients purchasing art valued over €10,000 (£8,570). These establishments must also report any suspicious activities to relevant authorities. This legislation is an implementation of the EU's 5th Anti-Money Laundering Directive, integrated into The Money Laundering and Terrorist Finance Amendments Regulations, aimed at curbing money laundering and terrorist financing risks in the art sector. Businesses have until January 10, 2021, to register with HMRC. Similar regulations are also being considered in both the EU and the United States.