What is a Money Services Business (MSB)?

A Money Services Business (MSB) provides services such as money transfers, currency exchange, or issuing electronic money, and is subject to regulatory requirements including licensing, AML/CTF rules and ongoing supervision.

What are the regulatory requirements for Small Payment Institutions (SPI)?

SPI regulatory requirements typically include meeting registration or authorisation rules, implementing AML/CTF procedures, ensuring proper customer due diligence, reporting, and maintaining adequate risk management frameworks.

What is required to become an Authorised Payment Institution (API)?

To become an API, businesses need to obtain necessary authorisation, meet capital and governance requirements, implement robust AML/CTF controls, maintain operational standards, and comply with ongoing regulatory obligations.

What is an Electronic Money Institution (EMI)?

An Electronic Money Institution (EMI) issues electronic money and offers payment or remittance services. EMIs are regulated and required to comply with licensing, capital adequacy, consumer protection, AML/CTF, and operational risk controls.

What differentiates a Small EMI (SEMI) from an Authorised EMI (AEMI)?

A SEMI is typically subject to lower capital or regulatory thresholds than an AEMI and may have restricted powers or operational scope. An AEMI has full authorisation and broader regulatory responsibilities and obligations.

Does ABM Global Compliance help with licensing for MSBs and EMIs?

Yes, we assist with preparing licence applications, ensuring regulatory readiness, liaising with regulators, and maintaining post-licence compliance.

How do AML/CTF rules apply to E-Money Institutions?

EMIs must have effective anti-money laundering and counter-terrorist financing (AML/CTF) controls including customer due diligence, transaction monitoring, risk scoring, record-keeping, and reporting of suspicious activity.

Is ongoing regulatory reporting required for MSBs and EMIs?

Yes. MSBs and EMIs are required to submit regular reports to relevant regulators, maintain records, carry out audits or reviews as required, and adapt to updated regulations.

What are the risks of non-compliance for MSBs and EMIs?

Non-compliance can lead to regulatory penalties, fines, loss of authorisation, reputational damage, and increased scrutiny from regulators.

How can I engage ABM Global Compliance’s services for MSB/E-Money compliance?

You can contact ABM Global Compliance at +44 207 515 7080 or info@abmglobalcompliance.com. We begin with a consultation to understand your business model, obligations, and then propose a tailored compliance roadmap.

MSB & E-Money Compliance Services | Secure E-Money Licensing

Overview

UK MSBs are governed by the Money Laundering Regulations 2017 (MLR 2017), supervised by HMRC for registration and the FCA for firms seeking full authorization under the Payment Services Regulations 2017. A well-defined compliance approach is essential to obtain and maintain regulatory status.

We support Small Payment Institutions (SPIs) and Authorised Payment Institutions (APIs) with tailored legal, compliance, and strategic advisory across every step of their regulatory journey. From HMRC MSB registration to FCA licensing, AML/CFT controls, and audit readiness, we ensure your MSB operates within a robust compliance framework.