Terrorism Act 2000, as amended
- Issuing authority
- UK Parliament
- Effective date
- Received Royal Assent on 20 July 2000. Amended several times by subsequent counter-terrorism legislation.
- Scope
- United Kingdom
Key requirements
The UK's main counter-terrorism financing law. Creates offences for fundraising, using or possessing money for terrorism, and money laundering linked to terrorism. Like POCA, it includes a duty for regulated firms to report suspicions through SARs, and tipping-off offences. Lists proscribed terrorist organisations.
Quick Summary
The Terrorism Act 2000 creates offences relating to terrorist financing, requires regulated businesses to report suspected terrorist financing in certain circumstances, gives authorities powers to investigate terrorist activity, and provides the legal framework for proscribing terrorist organisations.
What is it?
While the Proceeds of Crime Act focuses on money laundering linked to criminal activity, the Terrorism Act specifically targets terrorism and terrorist financing. It makes it a criminal offence to raise, use, possess, or make funds available for terrorist purposes and sets out reporting obligations for businesses in the regulated sector.
Who does it apply to?
- Anyone involved in terrorist financing or terrorist property
- Businesses in the regulated sector
- Banks
- Payment institutions
- Cryptoasset businesses
- Lawyers
- Accountants
- Other firms with reporting obligations under the Terrorism Act
Why does it matter?
Terrorist financing does not always involve large sums of money. Even small amounts can be used to support terrorist activities. This Act helps prevent funds from reaching terrorist organisations by creating criminal offences, requiring suspicious activity to be reported, and giving law enforcement agencies powers to investigate and disrupt terrorist financing.
AboutAML Breakdown
The Terrorism Act 2000 and the Proceeds of Crime Act 2002 are often mentioned together, but they deal with different types of financial crime. POCA focuses on money laundering involving the proceeds of criminal activity. The Terrorism Act focuses specifically on funds that may be used for terrorism, whether or not those funds come from criminal activity. For example, money donated for what appears to be a legitimate cause could still become terrorist property if it is intended to support terrorist activities. Like POCA, the Act requires people working in the regulated sector to report suspicions in certain circumstances and makes it an offence to tip off someone if doing so is likely to prejudice an investigation. The Act also provides the legal framework for proscribing terrorist organisations in the UK. It is a criminal offence to belong to, support, or invite support for an organisation that has been proscribed under the Act.