What is Anti-Money Laundering Regulation?

The Anti-Money Laundering Regulation (AMLR) is an EU regulation that sets common rules to help prevent money laundering and terrorist financing. Officially known as Regulation (EU) 2024/1624, it is part of the EU’s wider reform of its anti-money laundering and counter-terrorist financing (AML/CFT) framework.

One of the main changes is that AMLR is directly applicable across EU Member States. Businesses covered by the regulation will therefore work from the same core set of EU rules rather than solely relying on different national requirements.

What Is AMLR?

AMLR stands for Anti-Money Laundering Regulation. It sets out the AML/CFT requirements that organisations covered by the regulation, known as obliged entities, must follow.

AMLR	Details
Official name	Regulation (EU) 2024/1624
Purpose	Common EU rules for preventing money laundering and terrorist financing
Covered Businesses	Banks, payment and e-money providers, investment firms, life insurance and investment-related insurance providers, crypto-asset businesses and relevant non-financial obliged entities such as legal, accounting and real estate businesses.
Main areas	Customer due diligence, beneficial ownership, risk assessment, internal controls and reporting
Main application date	10 July 2027

The regulation was published in the Official Journal of the European Union on 19 June 2024 and entered into force 20 days later.

When Does AMLR Apply?

Most obliged entities must comply with the applicable AMLR requirements from 10 July 2027. This is the date when the regulation’s main obligations become applicable under Article 90.

There is a later date for certain activities involving professional football clubs and football agents. The relevant AMLR provisions for these activities will apply from 10 July 2029. The application date is worth noting because the regulation has already entered into force, but its main obligations do not apply until the dates specified in Article 90.

Who Are AMLR Obligated Entities?

Obligated entities are businesses and professionals that fall within the scope of AMLR and must meet the requirements relevant to their activities.

The regulation includes a broad range of sectors such as:

Banks and other credit institutions
Payment and electronic money institutions
Crypto-asset service providers
Investment firms
Auditors, external accountants and tax advisers
Certain lawyers, notaries and other legal professionals
Trust or company service providers
Real estate professionals
Traders dealing in certain precious metals, precious stones and high-value goods
Gambling service providers
Certain crowdfunding and investment-related services
Professional football clubs and football agents for specified activities

The exact requirements vary according to the organisation and the activities it carries out. The full list of covered entities is set out in Article 3 of AMLR.

What Does AMLR Cover?

AMLR sets requirements for several parts of an organisation’s AML/CFT processes.

Area	What it covers
Customer Due Diligence (CDD)	Businesses must identify and verify customers and beneficial owners where required, and understand the purpose of the relationship and apply appropriate due diligence measures. AMLR also introduces an EU-wide maximum limit of €10,000 for cash payments.
Beneficial Ownership	Businesses must identify the individuals who ultimately own or control a legal entity, rather than relying only on its registered ownership structure. Under AMLR, ownership of 25% or more of shares, voting rights or another ownership interest generally indicates beneficial ownership, including rights to profits or other economic benefits.
Risk Assessment and Internal Controls	Obliged entities must identify and assess their money laundering and terrorist financing risks and maintain policies, procedures and controls that reflect those risks and the nature and size of the organisation.
Monitoring and Reporting	Businesses must monitor business relationships and transactions, maintain relevant records, and report suspected money laundering or terrorist financing to the appropriate Financial Intelligence Unit where required.

Why Was AMLR Introduced?

AMLR was introduced as part of the EU’s broader effort to strengthen its approach to money laundering and terrorist financing.

A key aim is to reduce differences between national AML/CFT rules and create a more consistent set of requirements across the EU. The European Commission describes the wider AML package as a way to close gaps in the existing framework, strengthen enforcement and create a more effective system for tackling financial crime. For businesses operating across several EU Member States, this means that many AML/CFT requirements will be based on a common EU regulation rather than being shaped only by separate national rules.

To understand the key changes introduced by AMLR and what businesses need to do to prepare for compliance, see our full EU AMLR Compliance Guide.

Frequently Asked Questions

When was AMLR adopted?

AMLR was adopted in May 2024, published in the Official Journal on 19 June 2024, and entered into force on 9 July 2024. Its main requirements apply from 10 July 2027.

How does AMLR define money laundering and terrorist financing?

AMLR refers to the definitions in existing EU law. Money Laundering is defined by Directive (EU) 2018/1673, while terrorist financing is defined by Directive (EU) 2017/541.

Does AMLR apply to businesses that are not obliged entities?

Generally, No. Most AMLR obligations apply to the obliged entities listed in Article 3, although certain provisions such as the cash payment limit can apply more broadly.

What is the difference between AMLR and AMLD6?

AMLR is an EU regulation that directly establishes AML/CFT requirements for obliged entities. AMLD6 (Directive (EU) 2024/1640) is an EU directive that Member States must implement through national legislation and focuses on areas such as national AML/CFT authorities, Financial Intelligence Units, and beneficial ownership registers.

How does AMLR relate to the FATF Recommendations?

The FATF Recommendations are international AML/CFT standards. AMLR turns many of those principles into binding EU requirements and adds EU-specific rules for obliged entities.