All companies, including an estimated 450 auditors, insolvency practitioners, external accountants and tax advisers, with revenue in excess of £10.2m are liable for the charge if they are supervised under the Money Laundering Regulations. Smaller businesses are exempt from paying the levy.

The accountancy profession will have to pay their levy directly to HMRC.

It is expected to raise £100m per year from the anti money laundering regulated sector to pay for government initiatives outlined in the 2019 economic crime plan to help tackle money laundering.

The levy will first be charged on up to 4,000 entities that are regulated during the financial year from 1 April 2022 to 31 March 2023 with payments due by 30 September 2023.