How AML software helps accountants in accounting practices

Team Nomi

Oct 07, 2026
7 minutes read

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Anti-money laundering (AML) checks are an important part of running an accounting practice in the UK. Accountancy service providers covered by the Money Laundering Regulations have responsibilities that include customer due diligence, record-keeping, and reporting suspicious activity.

For an accounting practice managing dozens or hundreds of clients, completing these checks manually can create a significant amount of administration. AML software can help organise and automate parts of the process, from identity verification and customer due diligence to monitoring client information and keeping records up to date.

But what exactly does AML software do, and how can it help accountants manage AML checks more effectively?

What are AML checks for accountants?

AML checks are checks carried out to identify and assess the risk of money laundering and other financial crime.

For accountants, this generally forms part of customer due diligence (CDD) when taking on a new client and throughout the business relationship.

HMRC describes CDD, also known as know your customer (KYC), as the checks businesses carry out on customers and, where applicable, beneficial owners. The level of due diligence should reflect the level of risk involved.

Depending on the client and the circumstances, AML procedures may involve:

• • Identifying and verifying the client
  • Identifying beneficial owners where applicable
  • Understanding the purpose and intended nature of the business relationship
  • Assessing the client’s money laundering risk
  • Checking information against relevant sources
  • Carrying out enhanced due diligence where a higher risk is identified
  • Keeping customer information and records up to date
  • Monitoring the business relationship on an ongoing basis
  • Taking appropriate action when something changes or appears unusual

AML checks are therefore not simply a one-off identity check completed when a client joins an accounting practice.

How AML software helps accountants for accounting practices

AML software can help accounting practices organise repetitive AML and KYC activities in one digital workflow.

The software does not replace an accountant’s professional judgment or the firm’s AML responsibilities. Instead, it can reduce manual administration and help staff follow a consistent process.

1. It reduces manual KYC checks

One of the first stages of client onboarding is establishing who the client is and verifying their identity.

Without digital tools, this can involve collecting documents, checking information manually, recording results, and following up when something is missing.

AML software can automate parts of this process by collecting client information and connecting with identity verification or screening services.

This can make it easier for an accounting practice to see which checks have been completed and which still require attention.

2. It helps organise customer due diligence

Customer due diligence involves more than confirming someone’s identity.

Accountants may need to understand the customer, the purpose of the relationship, and the associated money laundering risk. The level of checks should reflect the circumstances and risk involved.

AML software can provide a structured workflow for recording this information, helping practices keep relevant client information together rather than relying on separate spreadsheets, emails, and documents.

3. It supports risk-based AML processes

A lower-risk client may require a different level of due diligence from a client presenting a higher level of risk. Enhanced due diligence and enhanced ongoing monitoring are required in certain higher-risk situations.

AML software can help practices record risk assessments and flag situations that may require further review.

The important point is that software can support the process, but the accounting practice remains responsible for deciding what action is appropriate.

4. It makes ongoing monitoring easier to manage

AML checks do not necessarily end once a client has been onboarded.

HMRC’s current guidance states that businesses must continue to monitor a business relationship for its duration. This includes keeping customer due diligence information up to date, reviewing beneficial ownership where relevant, and monitoring transactions where appropriate.

For accounting practices with a large client base, remembering when information needs reviewing can be difficult.

Digital AML systems can help by providing reminders, alerts, and centralised records so that staff can identify information that needs attention.

5. It helps keep client information up to date

Client circumstances can change after onboarding.

For example, a company may have new directors or beneficial owners, or information previously collected may become outdated.

HMRC guidance specifically states that CDD information and records should be reviewed and kept up to date.

An AML system can help practices identify when information needs reviewing instead of relying entirely on manual diary reminders.

6. It creates a clearer record of AML activity

Record keeping is an important part of AML procedures for supervised accountancy businesses.

When checks are managed across emails, spreadsheets, and separate document folders, it can be difficult for a practice to establish what was checked, when it was checked, and what action was taken.

A central digital record can make AML information easier for authorised staff to access and review.

This can also make internal AML processes easier to manage as the practice grows.

7. It can reduce repetitive administrative work

AML administration can involve repeated tasks such as

• • Sending requests for client information
  • Checking whether documents have been received
  • Recording verification results
  • Reviewing client information
  • Following up on outstanding checks
  • Updating records
  • Setting reminders for reviews

Automating appropriate parts of these workflows can reduce repetitive administration and give accountants more time for client work and other higher-value activities.

Can AML software replace manual AML checks?

AML software can automate many routine AML and KYC tasks, reducing the amount of manual work involved in client onboarding and ongoing reviews. However, accounting practices still need to apply professional judgment and follow their own AML procedures.

For example, software can help identify potential risks, flag information that needs attention, and organise client records. The practice can then review these findings and decide whether further checks or action are required.

This is important because UK AML requirements follow a risk-based approach. The level of due diligence and ongoing monitoring should reflect the circumstances and risk associated with the client.

How Nomi can support AML and KYC workflows

Nomi includes KYC and AML functionality within its accounting software platform for UK accountants and bookkeepers.

The system can support client onboarding and AML-related checks, helping practices manage client information and compliance workflows digitally rather than relying entirely on manual processes.

However, AML software should be viewed as a tool to support an accounting practice’s AML procedures, not as a replacement for the firm’s own risk assessment, policies, and professional judgment.

Frequently asked questions

1. How often should accountants carry out AML checks?
   AML checks are not necessarily a one-time activity. Businesses subject to the Money Laundering Regulations must continue to monitor business relationships and keep relevant customer due diligence information up to date. The frequency and extent of reviews should reflect the level of risk involved.
2. What is the difference between KYC and AML?
   KYC, or knowing your customer, generally refers to identifying and verifying customers and understanding relevant information about them. AML is broader and covers the policies, procedures, and controls used to prevent and detect money laundering and related financial crime.
   HMRC uses CDD as the collective term for the checks businesses must carry out on customers and, where applicable, beneficial owners.
3. Do accountants need to carry out AML checks on every client?
   Accountancy service providers within the scope of the Money Laundering Regulations have customer due diligence responsibilities. However, the nature and extent of those checks should be based on the circumstances and level of risk involved.
4. What happens if a client is considered high risk?
   Higher-risk situations can require enhanced customer due diligence and enhanced ongoing monitoring. The Money Laundering Regulations set out circumstances where enhanced measures are required.
5. Can AML software help with ongoing client monitoring?
   Yes. Depending on the system, AML software can support ongoing monitoring through reminders, alerts, record reviews and screening. However, the exact functionality varies between providers, and the accounting practice remains responsible for reviewing information and deciding what action is appropriate.
6. Is AML software mandatory for accountants?
   The law requires relevant businesses to meet their AML obligations; it does not mean that every business must use a particular type of software. AML software is a technology solution that can help practices manage parts of their AML and KYC processes more efficiently.