UK government issues failure to prevent fraud offence guidance

Large organisations with a UK nexus are able, since 6 November, to refer to official guidance when developing "reasonable measures" to defend against a potential criminal charge of failure to prevent fraud intended to benefit them by their employees, agents, subsidiaries or other "associated persons" under the Economic Crime and Corporate Transparency Act 2023. The offence takes effect nine months from publication of the guidance - in fact, nearer ten - on 1 September 2025.

Large organisations with a UK nexus are able, since 6 November [2024], to refer to official guidance [1] when developing "reasonable measures" to defend against a potential criminal charge of failure to prevent fraud intended to benefit them by their employees, agents, subsidiaries or other "associated persons" under the Economic Crime and Corporate Transparency Act 2023. The offence takes effect nine months from publication of the guidance - in fact, nearer ten - on 1 September 2025.