January 25, 2026
Australian businesses are set to experience one of the most demanding compliance environments in years. Regulatory changes in 2026, paired with intensified enforcement activities and growing financial crime complexity, place increasing pressure on organisations.
Consider this: in 2024, financial institutions in Australia incurred an average cost of AUD$4.21 for every Australian dollar lost to fraud. Organisations lost a total of $84 million to cyber scams in the same year.
Digital payments, cross-border transactions, and automation have expanded exposure to crimes like money laundering and tax evasion. Beyond monetary losses, these incidents highlight increased operational and compliance burden to prevent, detect, and mitigate financial crime.
At the same time, organisations must keep pace with the evolving regulatory landscape, including AUSTRAC reforms and scam prevention laws. Non-compliance could result in heavy penalties and reputational damage.
With banks, financial services firms, and large corporations being particularly vulnerable, compliance is no longer a back-office function. It’s central to business continuity and customer trust.
And that emphasises the need for skilled AML and compliance talent. Organisations investing in proactive workforce planning will succeed in building future-ready compliance teams sooner than those relying on reactive fixes when regulatory deadlines arrive.
As a hiring leader, here’s what you need to know about financial crime and compliance in 2026.
Anticipated Regulatory Shifts Shaping the Compliance Landscape
Financial crimes are becoming more sophisticated with criminals relying on AI, cryptocurrencies, and complex trade networks to exploit vulnerabilities in financial systems, making prevention and mitigation increasingly challenging.
In response, regulatory bodies are tightening scrutiny and implementing reforms.
Key AML and Scam Prevention Reforms
In 2025, AUSTRAC published key AML/CTF reforms that’ll commence for existing reporting entities on March 31, 2026, and for newly regulated entities on July 1, 2026.
These reforms aim to:
- Streamline the compliance framework and focus on real risks.
- Shift responsibility to organisations that control the customer relationship.
- Extend coverage to high-risk sectors, including accounting, legal, and real estate.
Then there’s the Scam Prevention Framework Bill, enacted in 2025, that establishes a structured approach for service providers in specific sectors to combat financial crime.
Increased Scrutiny on Data, Reporting, and Accountability
Regulators are also tightening requirements around data governance and reporting. This scrutiny demands accurate, consistent, and timely reports that demonstrate how risks are being managed.
For compliance teams, it’s no longer enough to establish and document policies. Organisations must demonstrate that their compliance frameworks are enforced, effective, and actively maintained.
Regulatory bodies also demand more accountability and transparency, particularly from senior leadership. C-suite executives must have a deep understanding of their company’s financial crime risks and take ownership of how those risks are detected, monitored, and mitigated.
As the regulatory environment continues to evolve, businesses must interpret reforms quickly, translate requirements into practical controls, and implement them across the organisation. Otherwise, they risk legal action, erosion of customer trust, and reputational damage.
That further highlights the need to hire top-tier risk and compliance talent.
Stronger Regulatory Focus on Data Quality, Governance, and Auditability
Regulators regularly scrutinise the accuracy, traceability, and governance of compliance data, making timely and data-driven reporting non-negotiable.
Poor-quality data isn’t just seen as an operational issue alone, but is treated as a broader compliance failure, inviting more scrutiny and potential legal action.
Compliance teams must, therefore, maintain complete, consistent, and auditable records across systems and reporting cycles.
This shift demands hiring professionals who can move beyond theory and apply regulatory requirements in a data-driven way.
They must be able to translate complex obligations into practical data standards, controls, and reporting processes and work closely with the teams that generate and manage that data day to day.
Heightened Expectations Around Technology and Automation Controls
73% of financial services firms use AI-driven cybersecurity technology in their daily operations in Australia, outpacing the global average of 57%.
But there’s a catch.
Only 24% of businesses are familiar with the Australian government’s guidelines on implementing AI regulation.
Such a disparity indicates a clear mismatch between AI adoption and compliance readiness.
While technologies like AI, machine learning, and automated monitoring systems strengthen financial crime detection and mitigation, poorly governed models introduce new risks.
That’s why regulators are enforcing stricter guardrails on transparency, governance, and oversight. They expect organisations to demonstrate robust AI governance frameworks, including clear ownership, approval processes, and controls.
Businesses must be able to explain how automated systems make decisions, what data inputs they use, and where human oversight applies.
That, in turn, is skyrocketing the demand for compliance professionals who can bridge technology, risk, and regulatory interpretation.
These individuals are instrumental in ensuring that the use of AI aligns with regulatory expectations, ethical standards, and governance obligations.
Without the right expertise in place, you risk deploying powerful technologies that introduce new compliance exposures rather than reducing them.
Alignment of ESG and Financial Crime Compliance Obligations
The impact of financial crimes isn’t limited to monetary losses. They affect an organisation’s ESG standpoint too.
For instance, companies can use complex financial schemes to launder funds for illegal logging and deforestation. They might exploit financial systems to fund terrorist activities or human trafficking.
Worse still, poor governance can become a breeding ground for bribery, corruption, and fraud.
Given the stakes, it isn’t surprising that regulators, investors, and other stakeholders now expect organisations to demonstrate that financial crime controls are aligned with broader standards of ethical and sustainable business practices.
The convergence of ESG and financial crime compliance favours professionals who view compliance as an integral part of corporate governance, not a standalone regulatory obligation. When you set about augmenting your team, these are the professionals you need to target.
Evolving Compliance Talent Profiles for 2026
According to PwC’s 28th Annual Global CEO Survey, 90% of Australian organisations believe compliance requirements have become more complex over the last three years.
Unfortunately, none of the respondents consider their organisation to be leading in compliance (compared to 7% globally).
How do businesses keep pace with heightened regulatory pressure and scrutiny, then? By hiring and building a future-proof compliance team.
The first step to that is understanding how compliance talent profiles and expectations are changing.
Risk and compliance professionals are no longer just responsible for designing and documenting policies. They’re actively accountable for enforcing controls, advising businesses, and aligning regulatory frameworks with commercial decision-making.
That, in turn, requires employers to prioritise talent with a more diverse and modern skill set, which includes:
- Strong regulatory interpretation skills.
- Ability to analyse and work with data.
- Confidence in applying risk-based decision-making frameworks.
- Familiarity with new technologies, including automation, machine learning, and more.
- Adept at cross-functional collaboration with ESC, procurement, and technical teams.
The idea is to find professionals who can translate complex regulatory requirements into clear, practical business outcomes.
Hire the Best Risk and Compliance Talent
Financial crimes will continue to become more complicated and regulatory expectations will intensify.
It’s up to organisations to build compliance teams that can keep up with this fast-changing regulatory environment.
New obligations around financial automation, accountability, and data governance will only be as effective as the people responsible for interpreting and implementing them. Without the right expertise in place, even well-designed frameworks and technology investments will fall short.
That’s where a partner like TalentWeb steps into the picture. We specialise in compliance and financial crime recruitment in Australia, guiding you through each step, from vetting and hiring to onboarding.
Whether you are addressing AUSTRAC reforms or building a digital-first compliance culture, our specialist recruitment consultants are here to help.
Get in touch with us today to build a future-ready compliance team.
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