Coadjute has been accepted into the Financial Conduct Authority’s AI Live Testing Sandbox, as the regulator prepares to take on a more central role in overseeing anti-money laundering (AML) compliance in the property sector.
The move comes ahead of a major regulatory shift, with the FCA set to become the single AML supervisor for professional services, replacing the Solicitors Regulation Authority following a government decision in October 2025.
The transition signals a tougher enforcement environment for conveyancers, with increased scrutiny expected around how firms evidence the effectiveness of their AML processes, rather than simply documenting policies.
Firms are also likely to face higher compliance costs, more frequent reviews and greater focus on areas such as source of funds and source of wealth, as regulators push for more robust, data-led risk assessments.
SAFE DEPLOYMENT
Jessica Rusu, Chief Data, Information and Intelligence Officer at the Financial Conduct Authority, says: “Our new AI Live Testing service helps firms who are ready to use AI in live markets… we’re helping to make sure that AI is developed and deployed safely and responsibly in UK financial markets.
“We want financial firms and their customers to benefit from AI, so we’re providing a safe space to test how they plan to use it.”
BIG STEP FORWARD
John Reynolds (main picture), Co-founder and Chief Operating Officer at Coadjute, adds: “Conveyancers are entering a new era of AML regulation – one that demands demonstrable effectiveness, not just good intentions.
“Our acceptance into the FCA’s AI Live Testing Sandbox is a significant step forward, not just for Coadjute, but for the entire industry.
“We are working hand-in-hand with regulators and major industry participants to define how AI can be used responsibly to raise standards, reduce risk and make compliance more robust and more efficient.
“Our focus is simple: to give conveyancers the tools they need to meet – and maybe even exceed – the expectations of the FCA.”
