Top Ten Compliance Trends 2026: Preparing For Regulatory Challenges

Top Ten Compliance Trends 2026: Preparing for Regulatory Challenges

2026 is shaping up to be a big year for compliance. With new rules around AI, cybersecurity, financial crime, and data privacy, businesses have a real chance to get ahead and build stronger, more resilient operations.

From Workers Protection Act to evolving crypto regulations, there’s a lot to watch out for. In this article, we break down the top ten compliance trends for 2026 and share practical insights to help your business stay ahead, protect your people, and keep regulators happy.

1. Adapting to AI Regulation and Ethics

The EU’s Artificial Intelligence Act sets a global benchmark for AI regulation. Businesses leveraging AI in high-risk sectors – such as healthcare, financial services, and recruitment – must implement stringent transparency and audit measures. Non-compliance risks include heavy fines and reputational damage.

The AI Act continues to influence UK and global regulation of AI, especially for high-risk sectors like finance, healthcare, and recruitment.

Key trends:

  • Stricter transparency, audit, and bias-prevention requirements.

  • Increasing scrutiny of AI-driven decisions affecting employees or customers.

Preparation tips:

  • Conduct AI compliance audits.

  • Train staff on ethical AI practices and human oversight.

  • Document processes to demonstrate regulatory compliance.

2. Financial Crime, AML, and Fraud Prevention

The 2025 Money Laundering Regulations updates continue to shape compliance priorities in 2026, introducing higher Customer Due Diligence (CDD) thresholds, enhanced oversight of cryptoasset activities, and stricter monitoring of pooled client accounts. Organisations are now under greater scrutiny from regulators, who are focusing on both traditional financial crime risks and emerging threats, such as fraud facilitated through digital assets and decentralised finance (DeFi) platforms.

Key trends:

Preparation tips:

3. Cybersecurity in an AI-Driven Threat Landscape

As AI-powered cyberattacks grow in sophistication, companies face increasing risks to their data and systems. In fact, technology-related issues top the list of concerns for businesses. Compliance trends in cyber security awareness show regulatory bodies are introducing stricter security standards for cloud systems and digital platforms. As Cédric Foray from EY Global said in a recent article: “…the spate of new cyber regulations and AI policies further reinforces the need for robust data protection measures and responsible AI management.”

Preparation tips:

4. Worker Protection and Employment Law Compliance

Looking ahead to 2026 and 2027, the Employment Rights Bill and associated legislation will significantly expand employee protections. Key developments include granting “day one rights” for unfair dismissal, meaning new employees will no longer need to complete a qualifying period before claiming protection.

Whistleblowing safeguards are also being strengthened, with disclosures relating to sexual harassment now explicitly protected, ensuring employees can raise concerns without fear of detriment. Additionally, the practice of dismissal-and-rehire – often referred to as “fire and rehire” – will generally be treated as automatically unfair, signalling a major shift in how employers must manage contractual changes and workforce restructuring.

Key changes:

  • “Day one rights” for unfair dismissal protection.

  • Enhanced whistleblowing protections, including sexual harassment disclosures.

  • Dismissal-and-rehire (“fire and rehire”) considered automatically unfair in most cases.

Preparation tips:

  • Update HR policies and employee handbooks.

  • Train managers on preventing bullying and harassment and sexual harassment, and promoting a safe workplace.

  • Document all measures taken to demonstrate “reasonable steps” compliance.

5. Equity, Diversity, and Inclusion (EDI)

EDI continues to rise in prominence as both a legal and reputational imperative backed by the Equality and Human Rights Commission’s new strategic plan for 2025 to 2028. Organisations are no longer judged solely on policies or statements – they are expected to demonstrate tangible, measurable outcomes that foster truly inclusive workplaces. With evolving legislation and increasing public scrutiny, businesses that fail to prioritise EDI risk legal challenges, reputational damage, and difficulties in attracting and retaining diverse talent.

Key trends:

  • Mandatory gender pay gap and menopause action plans expected from 2026–2027.

  • Neurodiversity inclusion and support for employees with disabilities.

  • Measurable outcomes increasingly required, not just policy statements.

Preparation tips:

  • Conduct EDI audits and establish metrics.

  • Provide targeted Equality, Diversity and Inclusion training for leaders and staff.

  • Implement policies that support diverse needs and inclusive culture.

6. Health & Safety and Major Accident Hazards (COMAH)

Incidents in sectors such as manufacturing, recycling, and oil refining highlight the ongoing importance of robust safety systems and strict compliance with COMAH regulations. Beyond avoiding fines, effective health and safety management protects employees, contractors, and the wider community while safeguarding an organisation’s reputation. As regulatory scrutiny increases, businesses are expected not only to follow procedures but to demonstrate a proactive culture of risk management, emergency preparedness, and continuous improvement.

Preparation tips:

  • Audit workplace safety procedures and emergency plans.

  • Train staff on machinery isolation, alarm protocols, and risk mitigation.

  • Keep detailed records to demonstrate due diligence to regulators.

7. ESG and Sustainability Compliance

Environmental, Social, and Governance (ESG) requirements are increasingly moving from voluntary initiatives to mandatory obligations across many sectors. The Task Force on Climate-related Financial Disclosures (TCFD) framework is now widely adopted in the UK, driving transparency in reporting climate-related risks and corporate sustainability.

Organisations are expected not only to meet regulatory obligations but also to demonstrate measurable progress on sustainability goals, manage environmental risks, and embed social responsibility across operations. Investors, regulators, and customers are paying closer attention to ESG performance, making compliance a critical aspect of long-term business resilience and reputation.

Preparation tips:

  • Integrate ESG risk assessments into corporate governance.

  • Conduct environmental impact audits.

  • Train teams on sustainability obligations and reporting standards.

8. Supply Chain and Modern Slavery Risks

Modern slavery remains a significant concern in global supply chains, with estimates suggesting that up to 82% of exploitation occurs within them. Businesses are under growing scrutiny to ensure human rights compliance and protect vulnerable workers.

To manage these risks, companies should implement robust due diligence processes to assess suppliers and subcontractors, ensuring transparency in line with laws such as the UK Modern Slavery Act and the California Transparency in Supply Chains Act. Adopting internationally recognised standards, including ISO 37200, can provide a clear framework for preventing, identifying, and responding to forced labour and human trafficking.

Certification to such standards not only supports ethical practices – covering worker welfare, safety, and environmental responsibility – but also helps mitigate reputational and legal risks, demonstrating a proactive commitment to responsible supply chain management.

Preparation tips:

  • Map and audit supply chains.

  • Implement enhanced due diligence and monitoring.

  • Train procurement and compliance teams on modern slavery risk identification.

9. Data Privacy and Emerging UK Regulations

Post-Brexit, UK data protection is continuing to evolve, with updates to UK GDPR and the proposed Data (Use and Access) Bill shaping how organisations collect, store, and process personal data. Businesses will need to navigate tighter rules around data sharing, individual rights, and transparency while ensuring robust security measures to prevent breaches.

Non-compliance risks include regulatory fines, reputational damage, and loss of customer trust, making proactive preparation essential. With the digital landscape constantly changing, companies must stay ahead of emerging requirements to safeguard both their operations and the personal data of employees, customers, and partners.

Preparation tips:

10. Proactive Regulatory Monitoring and Risk Culture

Regulators are increasingly favouring organisations that don’t just react to issues, but actively anticipate and manage risks. This includes the use of predictive analytics, continuous monitoring, and embedding a strong risk-aware culture throughout the business.

Organisations that can demonstrate proactive governance, transparent reporting, and a commitment to ethical decision-making are better positioned to avoid fines, reputational damage, and operational disruptions. Building a risk-conscious culture means every employee, from the boardroom to frontline staff, understands their role in compliance and contributes to early identification and mitigation of potential breaches.

Preparation tips:

  • Implement compliance management systems with real-time monitoring.

  • Conduct internal audits and scenario testing.

  • Embed compliance into corporate governance and employee KPIs.

How InfoAware Can Help

At InfoAware, we offer customisable online compliance training across Anti Money Laundering, Anti-Fraud, Anti-Bribery & Anti-Corruption, Whistleblowing, GDPR and the UK Data Protection Act, Environmental, Social, and Governance (ESG), Equality, Diversity and Inclusion, bullying and harassment and sexual harassment. Our Moodle LMS helps track progress and demonstrate due diligence to regulators.

We specialise in creating off-the-shelf and bespoke training solutions that engage learners and has a lasting impact. Our customisable online training solutions, bespoke content creation, and Moodle LMS platform are designed with inclusivity in mind.

Get in Touch

You can contact us via our contact form, or email us at info@infoaware.com.

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