The Office of Financial Sanctions Implementation (OFSI) is a division of the UK Treasury responsible for overseeing and enforcing financial sanctions imposed by the UK government. Established in 2016, OFSI plays a critical role in the country’s efforts to combat financial crime, terrorism financing, and other activities that threaten national security. 

In the context of financial crime compliance, OFSI provides guidance to businesses on compliance with financial sanctions and monitors adherence to these regulations. It issues licenses for specific transactions that might otherwise breach sanctions and has the authority to impose penalties for non-compliance. Financial institutions must stay updated on OFSI regulations and ensure that their systems for sanctions screening and transaction monitoring are robust and effective. By facilitating the implementation of financial sanctions, OFSI contributes to maintaining the integrity of the UK financial system and deterring illicit activities.