Banks across the United Kingdom are reinforcing their anti-money laundering systems in response to a surge in complex financial crime. A new global survey by BioCatch has revealed that 65 percent of UK-based fraud and compliance professionals now believe criminal groups have become more advanced than the banks tasked with stopping them.
The report, which included insights from 800 financial crime experts across 17 countries, shows a significant shift in the threat landscape. Criminal networks are increasingly using structured mule operations, layered transaction strategies, and digital concealment methods to bypass traditional controls. This growing complexity has sparked concern that many banks are underprepared to detect and disrupt illicit activity at scale.
To stay ahead, UK financial institutions are leading the way in deploying behavior-based analytics. Over 84 percent of British banks now use behavioral biometrics and transaction monitoring to flag unusual activity—outpacing the global average of 76 percent. More than half of UK banks plan to increase their investment in fraud prevention tools over the next 12 months, with growing attention to data privacy, cybersecurity, and evolving regulatory expectations.
A major step forward has come from a new public-private partnership involving seven major UK banks—Barclays, NatWest, Lloyds, Santander, TSB, Metro Bank, and Starling Bank—working directly with the National Crime Agency. As part of this initiative, analysts and data experts from these institutions have been embedded within the NCA’s National Economic Crime Centre. Since its launch in May, this collaboration has led to 90 intelligence reports and the dismantling of at least eight criminal networks tied to fraud, money laundering, and immigration crime.
Regulatory pressure is also mounting. The Financial Conduct Authority continues its review of major banks’ anti-money laundering frameworks, including a current probe into Barclays. Recently, Starling Bank was fined nearly £29 million for shortcomings in its controls, particularly around sanctions screening and the onboarding of high-risk customers.
The battle against fraud is increasingly digital. Nearly three-quarters of scams involving authorized push payments now originate on social media platforms. UK banks are calling for greater accountability from tech companies and telecom providers to curb this trend and support cross-industry fraud prevention.
With financial crime becoming more agile and technologically advanced, UK banks are recognizing the need to stay ahead of the curve. Through stronger collaboration, advanced analytics, and regulatory reform, they are working to build a more secure and resilient financial ecosystem. But the fight is far from over, and staying one step ahead will require continuous innovation and coordinated action across sectors.
