As part of its consultation process in relation to money laundering regulations, the UK Treasury has announced that it plans to exempt small companies from compliance with certain regulations. Companies with a turnover under £13,000 will be exempt and around 25 criminal penalties connected with compliance failings will be abandoned. The purpose of the changes was to reduce the burden on small businesses and their owners.

The consultation process is ongoing until the end of August 2011 and responses are welcomed.