KYC Remediation Process for UK Firms
Certivus AML team8 minUpdated 2026-06-27
In brief: KYC remediation is the process of fixing stale, incomplete, or inconsistent client due diligence records and documenting the updated risk decision.
Key points
- Prioritise higher-risk clients first.
- Fix identity, ownership, screening, source-of-funds, and review-date gaps.
- Close each file with a clear updated decision.
What is KYC remediation?
KYC remediation is the work of correcting or refreshing client files when due diligence is missing, stale, inconsistent, or no longer matches the client's risk profile.
When remediation is needed
- Old ID or address evidence.
- Missing PSC or UBO records.
- Unreviewed PEP or sanctions results.
- No source-of-funds evidence for a higher-risk matter.
- Risk rating does not match the file.
- Periodic review is overdue.
Practical workflow
- Segment clients by risk.
- Identify missing evidence.
- Refresh identity, ownership, and screening.
- Update the risk rating.
- Escalate unresolved gaps.
- Record the decision and next review date.
This guide is general information, not legal advice. Apply it through the Money Laundering Regulations 2017, supervisor guidance, and the firm's own risk-based AML procedures.