The UK government has confirmed that they will embrace sweeping European laws designed to tackle money laundering and terrorism.
This new move has the potential to unmask the beneficiaries of thousands of secretive trusts for the very first time.
The government will take on the fifth EU anti-money laundering directive according to a recent letter sent to the MP Margaret Hodge, the Department for Business, Energy and Industrial Strategy (BEIS).
Following this, the new legislation was initiated in response to the Panama Papers, in which an international consortium of journalists divulged the wide use of trusts and opaque offshore networks to carry out money laundering generated from bribery, tax evasion and corruption. This is also following the rise of terrorist violence in Europe.
Authorities in the UK hope that the new directive will put in place sufficient protection which are reassuring to international investment. Following Brexit in March 2019 and the transition period until December 2020, the adoption of the directive is a move towards initiating a global standard for financial secrecy.