FCA Finds Money Mules Moving Fraud Proceeds Through Multiple Accounts

Financial firms in the UK closed 238,396 suspected money mule accounts in 2025, according to new findings from the Financial Conduct Authority (FCA). This compares with 184,935 closures in 2023 and 233,269 in 2024.

The FCA’s review examined money mule activity across 35 retail banks, building societies, challenger banks, payment institutions and e-money institutions. It also analysed 140 cases through a public-private working group involving 22 regulated firms to understand how fraud proceeds move through mule account networks.

The findings show that closing individual accounts does not necessarily disrupt the wider movement of criminal funds. Fraud proceeds were commonly transferred through two to five mule accounts before being cashed out, with the highest concentration occurring at the second account. By this point, funds may have been split into smaller transactions, making them harder to identify and trace.

Card payments were the most common cash-out method identified by the FCA. Criminals used both numerous low-value transactions and higher-value payments to local businesses and retailers, activity that can resemble legitimate consumer spending. The FCA also found that crypto cash-outs were less frequent but generally involved higher-value transactions.

The review found that some accounts had been used repeatedly for mule activity and across different fraud types. According to the FCA, this indicates that some activity is connected to established criminal infrastructure rather than isolated misuse.

Implications for AML and financial crime teams

The FCA’s findings highlight the need for firms to look beyond the initial account receiving suspicious funds. Monitoring should consider linked accounts, transaction patterns, payment destinations and subsequent cash-out activity.

The regulator also emphasised greater information sharing between firms and law enforcement. It pointed to the voluntary information-sharing provisions under the Economic Crime and Corporate Transparency Act 2023 as one mechanism that firms can use to help prevent, detect and investigate economic crime.

With money mule networks continuing to facilitate the movement of fraud proceeds, firms will need to assess whether their existing controls can identify linked activity early enough to disrupt the wider flow of funds.