# Stop watering down anti-corruption legislation URL: https://www.transparency.org/en/news/stop-watering-down-anti-corruption-legislation Type: News Published: 2013-05-29 Updated: 2019-11-19 --- 29 May 2013 At a time when governments around the world are speaking out about making the financial system more [transparent](http://www.guardian.co.uk/politics/2013/may/20/cameron-offshore-tax-havens-transparency "http://www.guardian.co.uk/politics/2013/may/20/cameron-offshore-tax-havens-transparency") to stop criminal activity diverting money from government coffers, news that the UK is considering [watering down](http://www.ft.com/cms/s/0/cab2111c-c6c8-11e2-a861-00144feab7de.html#axzz2UffSGULZ "http://www.ft.com/cms/s/0/cab2111c-c6c8-11e2-a861-00144feab7de.html#axzz2UffSGULZ") its new Bribery Act, just two years after it became law [sends the wrong signal](http://www.transparency.org.uk/news-room/blog/12-blog/608-bribery-act-should-not-be-watered-down "http://www.transparency.org.uk/news-room/blog/12-blog/608-bribery-act-should-not-be-watered-down"). In the US both the [US Chamber of Commerce](http://blogs.wsj.com/corruption-currents/2012/03/23/clinton-defends-fcpa-as-us-chamber-lobbys-for-changes-to-law/ "http://blogs.wsj.com/corruption-currents/2012/03/23/clinton-defends-fcpa-as-us-chamber-lobbys-for-changes-to-law/"), which represents thousands of businesses, and the [American Petroleum Institute](http://www.globalwitness.org/library/global-witness-condemns-api-lawsuit-strike-down-dodd-frank-oil-gas-and-mining-transparency "http://www.globalwitness.org/library/global-witness-condemns-api-lawsuit-strike-down-dodd-frank-oil-gas-and-mining-transparency"), have been working overtime to weaken the [Dodd-Frank financial reform legislation](http://www.washingtonpost.com/blogs/wonkblog/wp/2013/05/06/dodd-frank-is-finally-being-implemented-will-that-be-enough/ "http://www.washingtonpost.com/blogs/wonkblog/wp/2013/05/06/dodd-frank-is-finally-being-implemented-will-that-be-enough/") and the [Foreign Corrupt Practices Act (FCPA).](http://www.justice.gov/criminal/fraud/fcpa/ "http://www.justice.gov/criminal/fraud/fcpa/") Dodd-Frank includes provisions to increase transparency in the financial system and ensure that companies published more information about how and where they do business. The FCPA targets bribery of foreign officials. ### Costs v. Benefits There are legitimate arguments that regulations can impose costs, particularly on small and medium sized business. This is apparently the reason for the [UK Bribery Act](http://www.transparency.org.uk/news-room/blog/12-blog/537-new-efforts-to-kill-off-the-bribery-act "http://www.transparency.org.uk/news-room/blog/12-blog/537-new-efforts-to-kill-off-the-bribery-act") review – but the issue of too much bureaucracy can easily be hijacked. Companies should not use it as an excuse to allow themselves the leeway to pay bribes or to abrogate their commitments to transparency. In the UK, the Bribery Act was introduced to counter criticism from the OECD, the group of the world’s leading economies, that the UK did not comply with [its Foreign Bribery Convention](http://www.oecd.org/corruption/ "http://www.oecd.org/corruption/"). The Convention makes it illegal for a company to bribe an official in a foreign country. Public opinion in Britain would be scandalised by an oil company from abroad trying to bribe a UK politician, or a junior government official. It is too soon to tell how well the UK Bribery Act will work in practice. Businesses, particularly small and medium sized firms, are still coming to grips with what it means. In a recent survey by Ernst & Young, it found that although business with revenues of more than £50 million are aware of the Act, half of the smaller businesses surveyed were not. So far, there have been [few prosecutions](http://www.guardian.co.uk/law/2012/may/24/court-clerk-bribery-act-sentence "http://www.guardian.co.uk/law/2012/may/24/court-clerk-bribery-act-sentence"). However, this does not mean that its provisions should be prematurely altered. The call should be for enforcement. According to reports, the UK government is considering reviewing the section on ‘[facilitation payments’](http://www.sfo.gov.uk/bribery--corruption/the-bribery-act/facilitation-payments.aspx "http://www.sfo.gov.uk/bribery--corruption/the-bribery-act/facilitation-payments.aspx"), otherwise known as bribes. No matter what the working definition is: bribes should always be illegal. A decade of research from [the World Bank](http://web.worldbank.org/WBSITE/EXTERNAL/NEWS/0,,contentMDK:20190295~menuPK:34457~pagePK:34370~piPK:34424~theSitePK:4607,00.html "http://web.worldbank.org/WBSITE/EXTERNAL/NEWS/0,,contentMDK:20190295~menuPK:34457~pagePK:34370~piPK:34424~theSitePK:4607,00.html") and others has shown the damage that bribe-paying does to economies. This damage is not just to economic growth, by embedding the power of corrupt elites who prioritise personal enrichment over economic development, but to ordinary citizens. Anti-bribery and anti-corruption laws are designed to stop this abuse of power. Bribes distort the free market, which cannot be in the long-term interests of a well-run company. Moreover, if a company can only win a contract by breaking national and international law, its board of directors should question whether its executives are operating a sustainable business model, one that will attract customers and investors alike. ## Countries - [United Kingdom](https://www.transparency.org/en/countries/united-kingdom) - [United States](https://www.transparency.org/en/countries/united-states) For any press inquiries please contact ### You might also like... ## [World Whistleblower Day: The cost of exposing facts in the age of misinformation](https://www.transparency.org/en/news/world-whistleblower-day-cost-of-exposing-facts-age-of-misinformation) News • 16 June 2025 On World Whistleblower Day, we spotlight brave truth-tellers exposing disinformation and the rising threats they face for speaking out. ## [CPI 2024 for the Americas: Corruption fuels environmental crime and impunity across the region](https://www.transparency.org/en/news/cpi-2024-americas-corruption-fuels-environmental-crime-impunity-across-region) News • 11 February 2025 The absence of effective anti-corruption measures promotes human rights violations, and increases the influence of elites and organised crime on policy-making. ## [CPI 2023 for the Americas: Lack of independent judiciary hinders the fight against corruption](https://www.transparency.org/en/news/cpi-2023-americas-lack-independent-judiciary-hinders-fight-against-corruption) News • 30 January 2024 The lack of independence of the judiciary in the region undermines the rule of law and promotes impunity for powerful criminals. ## [Shining a light on the world’s biggest companies](https://www.transparency.org/en/news/shining-a-light-on-the-worlds-biggest-companies) News • 10 July 2012 The world’s 105 biggest companies touch the lives of people across the globe. 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