By Richard Vanderford

Barclays faces an investigation from the U.K.'s financial watchdog over its anti-money-laundering and financial crimes controls, the London-based institution has disclosed.

The Financial Conduct Authority, the U.K.'s main banking regulator, is conducting a civil enforcement investigation into Barclays's controls, the bank said Thursday in its annual report. Barclays is cooperating with the investigation, it said.

The FCA didn't respond to a request for comment.

The probe focuses primarily on the "historical oversight and management" of higher-risk customers, Barclays said. The investigation touches on Barclays Bank UK, which handles retail banking for individuals and small businesses in the U.K., and Barclays Bank, which offers financial services around the world, mostly to larger corporate clients.

Barclays didn't predict how the investigation might end and didn't provide an estimate of any financial cost it might incur. The bank didn't respond to a request for comment on details beyond those in its securities filing.

The bank elsewhere in its filing reported solid results that aligned with analyst expectations.

In November, the FCA fined Barclays about $50 million over its efforts to stay afloat during the 2008 financial crisis. The regulator said Barclays had been reckless and lacking integrity when it failed to disclose side agreements with Qatari investors who provided emergency funds, levying a GBP40 million fine.

Barclays had planned to contest the penalty in court, but withdrew its appeal the same week as the planned proceedings.

Write to Richard Vanderford at Richard.Vanderford@wsj.com

(END) Dow Jones Newswires

February 13, 2025 17:53 ET (22:53 GMT)

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