The EU commission has said it will start consulting EU members about whether to create a new supervisor to oversee anti-money laundering or whether to give additional powers to the European Banking Authority (EBA). The Commission began discussions near the end of 2019 about new regulatory powers, but more information is expected to be announced soon.
The commission also wants to introduce new regulations to enhance enforcement across the EU.
The move comes in the wake of a number of high profile money laundering scandals in recent years, which have revealed the reluctance of certain member states to enforce within their jurisdictions and the failure of the EBA to act.
“The need to act on money laundering has intensified with the coronavirus crisis. There had been an increase in cyber crime, and also virtual money laundering, in line with a more general trend related to widespread lockdown measures which are driving more activity on to the web,” Valdis Dombrovskis, the EU executive vice-president who oversees financial services, told the FT. “More activity happens online, and it also happens that more criminal activity happens online.”