Challenge: During the Covid-19 pandemic there has been a 106% rise in reports of suspected child sexual exploitation [1]. Well-intentioned UK Government [2] and NGO [3] solutions will inevitably fall short, without sustained Tier 1 support from the banking, payment gateway, exchange and gaming sectors.
Opportunity: Number 10 launches an annual, London-domiciled “FC COP 1” [4] to coincide with COP26, targeting elimination of over 80% of child sexual exploitation by 2030 (through AML reform, chiefly). With targeted, aligned UK legislation to ‘clean house’ in London. Attracting regulators [9], GSIFS [5] and Financial Crime Primes [6] to meet, under Chatham Hosue Rule, to drive out financial crime risk and cost [7], and nurture emerging efforts to eliminate the specific threat to children [8].
[1] NCMEC, CyberTipline
[2] “Interim code of Practice on Online Child Sexual Exploitation and Abuse”, Home Office
[3] “Impact of COVID-19 on Online Child Sexual Exploitation”, WePROTECT
[4] Financial Crime Conference of the Parties
[5] Global Systemically Important Financial Services
[6] Palantir, Duff & Phelps Kroll, K2 Integrity
[7] Compliance (over 180.9 billion p.a.), D&O/BBB insurance, software development, etc
[8] Example initiative: ScotiaBank / Project Shadow
[9] FCA, NYDFS, MAS, HK SFC, FINMA
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