Bermuda must be careful about raising the cost of doing business here as it strives to comply with international anti-money laundering and anti-terrorism financing standards, according to an Opposition MP.

Shadow Education Minister Grant Gibbons told the House of Assembly that while it was important for the Island to do the best it could in terms of compliance, it had to consider the financial impact of stricter regulations and increased fees for businesses.

Dr. Gibbons was speaking during debate on Monday on the Proceeds of Crime Regulations (Supervision and Enforcement) Amendment Act 2010, which was approved by MPs.

Junior Justice Minister Michael Scott explained the bill was part of an ongoing effort to strengthen Bermuda's anti-money laundering and anti-terrorism financing framework to ensure a high level of compliance with international standards.

He said it would introduce new supervisory authorities — in addition to the Bermuda Monetary Authority — and allow supervision of some non-financial businesses and professions, such as real estate agents and dealers in precious metals and stones and lawyers and accountants involved in specific activities.

The Financial Intelligence Agency (FIA) will be made a supervisory authority with the power to impose fines up to $250,000.

A joint board will be formed by the Bermuda Bar Council and the Institute of Chartered Accountants of Bermuda for overseeing those professions.

Registration and annual fees will have to be paid to the FIA by those businesses regulated by it.

Dr. Gibbons said: "I think we in this House ought to be aware that there are a lot of smaller businesses out there that are going to have a certain amount of difficulty dealing with this.

"There is certainly going to be a lot more time, energy and expense spent on these areas. We need to understand that upfront."

Bermuda Democratic Alliance MP Shawn Crockwell suggested Government needed to ensure it educated those businesses not accustomed to such legislation. "What is being done to ensure these people can comply?" he asked.

Health Minister Walter Roban said: "It's important to ensure that what we have in place as a Country is up to scratch and I do think it's important to spend some time bringing in some of these other professions, the accountants and the lawyers. It's well known that those firms do handle financial transactions."

Mr. Scott said the fees for businesses would be fixed and assessed "with the right levels of consultation".