Australian Transaction Reports and Analysis Centre publishes industry readiness research on AML/CTF reforms based on feedback from 1,300 businesses

The Australian Transaction Reports and Analysis Centre (AUSTRAC) published findings from its Industry Readiness Research study to gauge how prepared businesses are for upcoming anti-money laundering and counter-terrorism financing (AML/CTF) reforms. Based on input from more than 1,300 businesses including current reporting entities and tranche 2 entities, AUSTRAC concluded that industry needs clearer, more accessible information on what the reforms mean in practice and identified opportunities to strengthen transition support across sectors and firm sizes. Among current reporting entities, most reported having already taken preparatory steps and being reasonably confident about compliance readiness, although confidence varies by sector. Concerns were more pronounced among medium-to-large businesses, linked to the timeframes for implementing changes and the investment needed for system upgrades, while smaller businesses were less concerned due to a lower volume of applicable clients and a perception that large-scale changes may not be required. For tranche 2 entities, awareness of the reforms was reported as present but practical understanding remained limited for many; most expected to be ready but preferred to wait for detailed guidance and starter programs expected at the end of January before confirming readiness, with some citing complexity, time and cost as key issues. AUSTRAC plans additional surveys ahead of key reform dates to monitor awareness and readiness, with further details on survey activities to be shared later.