
From the new consequences of failure to prevent fraud to potential changes in the UK’s whistleblower regime, 2025 looks to be the year of change. The White Collar Crime team at Gherson provides a roundup of trends to watch out for in 2025.
Fraud prevention is serious business
Following the introduction of the Economic Crime and Corporate Transparency Act in 2023 (“ECCTA”), the deadline for corporates to implement fraud prevention measures is fast approaching and is set for September 2025. Organisations which meet the requirements under section 201 ECCTA[1] are expected to implement measures to combat fraud. An organisation’s failure to prevent fraud could result in huge fines and reputational damage. For further details, please access our blog on Guidance on the Offence of Failure to Prevent Fraud.
Key points to note:
- Corporate liability: If an “associated person” commits fraud and the company has not set in place adequate procedures to prevent it, the organisation itself could be criminally liable and could face large fines.
- Compliance overhaul: This emphasises the need for vigorous compliance programmes, routine employee training, risk assessments and efficient internal monitoring systems.
The SFO gets its mojo back
The Serious Fraud Office (SFO) seems to be gearing up for a busy year after a period of criticism and underperformance. It is clear that 2025 marks a turning point, with the agency adopting greater measures to tackle financial crimes which we have summarised below.
What’s new?
- Dawn raids: The SFO has increased its use of unannounced searches. Dawn Raids are aimed at catching fraudsters off guard and obtaining key evidence before it is destroyed. Businesses need to prepare for the possibility of such raids by ensuring their records are in order and that employees are trained on how to respond.
- Whistleblower incentives: Inspired by successful programmes in the US, there’s growing talk about financial rewards for whistleblowers, particularly from Nick Ephgrave himself. This could encourage more individuals to report misconduct, raising the stakes for companies to ensure financial crime is prevented and tackled appropriately.
Tech vs. crime
In 2025, technology could be argued to be a double-edged sword in the struggle against crime. The Financial Conduct Authority (“FCA”) is leveraging artificial intelligence (AI) and machine learning tools to identify anomalies and red flags in real time.
Game-changing innovations:
- Data analytics: AI systems are filtering through huge volumes of financial data to spot unusual patterns that could indicate fraudulent activity or even money laundering.
- Predictive policing: Advanced algorithms are already assisting regulators in predicting where crimes are likely to occur, which enables regulators to intervene. Some examples of these are Random forest, logistic regression and LightGBM.
- Challenges for criminals: Although technology is being used efficiently in the fight against crime, criminals are also discovering innovative ways to bypass these systems, creating a high-stakes game of cat and mouse.
INTERPOL publishes first ‘Silver Notice’!
INTERPOL’s new Silver Notice framework is a significant step forward in tracing illicit assets globally. The initiative allows member countries to request information about assets linked to serious criminal activity, aiding in both criminal and civil forfeiture cases.
Overview of the Silver Notice framework:
- Purpose: Silver Notices facilitate the location, identification and monitoring of assets for forfeiture proceedings. The scheme is limited to non-coercive measures, focusing on information sharing and bilateral cooperation.
- Criteria: Notices must relate to individuals under investigation for crimes punishable by at least four years of imprisonment. They require clear evidence linking assets to criminal activity and a valid judicial decision concerning asset restraint.
- Process: Once assets are located, the host country informs the requesting National Central Bureau (NCB) and INTERPOL, enabling swift action and document transfer.
Concerns:
Despite the framework’s potential, there is a risk of abuse by participating states, particularly those with histories of misusing INTERPOL’s Red Notice system. Safeguards, including rigorous reviews by INTERPOL’s General Secretariat, are essential to uphold the integrity of the system.
How Gherson can assist
At Gherson LLP, we understand that navigating the intricacies of white-collar crime requires expertise, caution and a proactive approach. Here’s how we’re equipped to assist you:
- Tailored compliance programmes: Our team can design and implement fraud-prevention frameworks (such as policies, controls and procedures) tailored specifically to your business, ensuring you meet all the requirements under ECCTA in order to prevent fraud within your business.
- Crisis management: If your company faces any investigations or dawn raids, our experts provide prompt legal support to curtail risk and protect your interests.
- Cutting-edge knowledge: We carefully monitor the latest developments in regulatory changes and global trends in white-collar crime.
- Litigation support: We offer across-the-board legal representation to circumnavigate the most complex cases.
Please do not hesitate to contact us for further advice, send us an e-mail, or, alternatively, follow us on X, Facebook, or LinkedIn to stay up-to-date.
Updated: 23 January 2025
The information in this blog is for general information purposes only and does not purport to be comprehensive or to provide legal advice. Whilst every effort is made to ensure the information and law is current as of the date of publication it should be stressed that, due to the passage of time, this does not necessarily reflect the present legal position. Gherson accepts no responsibility for loss which may arise from accessing or reliance on information contained in this blog. For formal advice on the current law please do not hesitate to contact Gherson. Legal advice is only provided pursuant to a written agreement, identified as such, and signed by the client and by or on behalf of Gherson.
©Gherson 2025
[1] A relevant body is a “large organisation” only if the body satisfied two or more of the following conditions in the financial year of the body that precedes the year of the fraud offence; where the turnover is more than £36 million; the balance sheet total is more than £18 million; the number of employees is more than 250.