The British government has responded to criticisms of its lassitude in targeting “dirty money” laundered by foreign elites through UK property by introducing the Economic Crime (Transparency and Enforcement) Act. The act, passed on March 15, was pushed through parliament in response to the Russian invasion of Ukraine.
It aims to improve transparency about ownership of UK properties held through companies registered overseas and includes powers to issue new kinds of sanctions. There are also changes designed to strengthen unexplained wealth orders – the mechanism that enables UK law enforcement agencies to investigate the origins of property thought to have been obtained through illegal means with a view to ultimately being able to seize that property.
