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What to expect from the SFO in 2025

Posted on 10 December 2024

Upcoming focal points

The SFO's 5-year plan (2024-2029) and Nick Ephgrave's public speeches have focused on improvements to day-to-day management and working practices. For example, these goals envisage end-to-end casework management and a push for "a disclosure regime that is fit for today's challenges". These focuses may be more necessary than ever in light of the SFO's investigation into internal disclosure system issues, which may have impacted the administration of Libor convictions between 2014 and 2016. 

This year also saw the introduction of the new Economic Crime and Corporate Transparency Act 2023 (ECCTA). ECCTA introduces a new failure to prevent offence which holds businesses and organisations liable for failing to prevent fraud committed by its employees and associated persons. Ephgrave has emphasised the SFO's desire to be the first agency to prosecute under ECCTA – a large undertaking, but a potential opportunity to establish a future expertise and leadership to fellow prosecuting bodies. Given the SFO's high hopes under ECCTA, companies would be well placed to inform themselves of best practices in preventing employees' and associates' misdeeds in the workplace. 

The SFO has also expressed a wish to become the industry collaborator of choice with both UK and global prosecuting bodies, along with plans to build a role within the OECD. This emphasis on collaboration may reflect its successful Met police collaboration investigating collapsed law firm Axiom Ince. 

The SFO will also be keen to identify opportunities to make use of the reform of the law on corporate criminal liability to hold corporates that are suspected of wrongdoing to account. The SFO had long called for the Government to make it easier for them to tackle suspected corporate wrongdoing and the reform of the law via the ECCTA now makes this possible. This is likely to mean that there will be an uptick in investigations by the SFO and more use of settlements by way of deferred prosecutions.    

A shift to the individual 

While ECCTA creates opportunities to pursue companies, the individual also has a clear role to play with the SFO. Ephgrave has suggested introducing payments to whistleblowers who make disclosures from within organisations. This framework would be modelled after the USA, where whistleblowers stand to receive a portion of any amount secured from convicted companies. A whistleblower programme may be contemplated now because of the importance of insider reports in the SFO's GPT Special Project Management case. Although a number of Labour MPs have seconded whistleblower payment suggestions, bringing similar framework into law will take time and may not be achieved in 2025. In the meantime, making better use of plea-bargain-style deals may become more common, to make full use of the SFO's power to offer immunity to individuals in the right circumstances.  

Starting from within 

Based on the SFO's ambitions, the organisation's workforce may expect changes in 2025. Plans for secondment programmes between law enforcement and criminal justice, as well as an enhanced overall benefits package are contemplated with a view to marketing SFO roles as "career-enhancing move[s]". 

The SFO has two trials listed in 2026: 

Ethical Forestry Limited 

After opening an investigation in December 2016, this case has been listed for trial in early 2026. The case relates to an alleged fraudulent investment scheme marketed by Ethical Forestry Limited and associated companies between 2007 and 2015. On 26 July 2023, three former directors of the company appeared at Southwark Crown Court and were each charged with two counts of conspiracy to commit fraud by false representation and one count of fraudulent trading. 

Patisserie Valerie PLC 

The fraud trial of four individuals, including a former director, linked to the collapsed bakery chain Patisserie Valerie is listed for trial in spring 2026. The investigation was initially opened in October 2018 when the fraud was first uncovered but charges were not brought until almost five years later, in September 2023. The first hearing for all four defendants was held a month later at Westminster Magistrates' Court. 

Whilst 2024 was a year of taking stock, setting goals and implementing a vision, we expect 2025 to be the year of acting on the vision laid out. Should time and resources permit alongside the SFO's upcoming 2025 trials, we can expect a focus on investigations with a view to charging under ECCTA, fine-tuning of internal processes, collaborations with complementary agencies and efforts to strengthen the SFO workforce. Charges under ECCTA can only be brought, following publication of the Government's guidance on the new failure to prevent fraud offence and the proceeding six-month implementation period. It was anticipated that the guidance would be published this autumn however the change in Government may mean there is some further delay.  These goals, along with a new Government, create a foundation for a bolder year of action than seen in past decades – it remains to be seen if these goals and promises will be acted upon. 

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