UK Serious Fraud Office: powers, deferred prosecution agreements and prosecutions
- Legal basis
- Criminal Justice Act 1987, section 1 1
- Territory
- England and Wales and Northern Ireland 1
- Oversight
- Director acts under the superintendence of the Attorney General 1
- Status
- Non-ministerial department 3
- Leadership
- Graham McNulty QPM, Interim Director. Applications for the next Director opened 7 October 2026 3
- Compulsory powers
- Criminal Justice Act 1987, section 2 notices 2
- Latest annual report
- SFO Annual Report and Accounts 2025-26, laid before Parliament 16 July 2026 4
What the SFO is
Section 1(1) of the Criminal Justice Act 1987 says "A Serious Fraud Office shall be constituted for England and Wales and Northern Ireland" 1. The Attorney General appoints the Director, who works "under the superintendence of the Attorney General" 1.
GOV.UK describes the SFO as a non-ministerial department 3. It says the SFO "fights complex financial crime, delivers justice for victims" 3. The GOV.UK page lists Graham McNulty QPM as Interim Director and says applications for the next Director opened on 7 October 2026 3.
Legal powers
Under section 1(3) the Director may investigate any suspected offence that appears on reasonable grounds to involve "serious or complex fraud" 1. Under section 1(5) the Director may "institute and have the conduct of any criminal proceedings" relating to such fraud 1.
Section 2 gives the Director compulsory powers 2. The main ones are listed below.
- A written notice can require a person to "answer questions or otherwise furnish information" 2.
- A written notice can require production of specified documents, with copies taken and an explanation required 2.
- Failing to comply "without reasonable excuse" is a summary offence, punishable by up to six months in prison, a fine or both 2.
- A statement made under a section 2 notice can be used in evidence against its maker only in limited cases, such as a prosecution for a false statement 2.
Deferred prosecution agreements
The SFO describes a DPA as "a voluntary agreement between a prosecutor and an organisation, approved by a judge" 6. The first was approved on 30 November 2015 in Serious Fraud Office v Standard Bank plc. The judgment calls it "the first example of a DPA in this country" 7. The charge was failure to prevent bribery under section 7 of the Bribery Act 2010 7.
On 1 May 2026 the SFO said a judge approved a DPA with Ultra Electronics Holdings Ltd over failure to prevent bribery linked to three public sector contracts 6. The SFO said the company would pay a £10 million penalty and £4.8 million in SFO costs 6.
On 13 October 2026 the SFO updated its corporate cooperation guidance 5. It said companies that report promptly and cooperate fully will be invited to negotiate a DPA except in unusual cases 5. It said it will contact a company within 48 business hours of a self-report and decide within six months whether to open an investigation 5. DPA negotiations run for six months from acceptance of the invitation 5.
Prosecutions
The SFO prosecutes companies and individuals 1,9 10. Petrofac Limited was convicted on its guilty plea to seven counts 9. Smith and Ouzman Ltd was found guilty after a trial at Southwark Crown Court 10. A DPA is not a conviction. The prosecution is deferred on agreed terms 6,7.
Where the SFO publishes
SFO news releases, case updates and annual reports are published on GOV.UK 3. The SFO Annual Report and Accounts 2025-26 was laid before Parliament on 16 July 2026 4. DPA approval judgments are published by the courts 7,8.
This page does not give caseload or recovery totals for 2025-26. The annual report is a 134-page PDF that could not be read for this page 4.
Case records on this site
| Case | Resolution | Key terms |
|---|---|---|
| Standard Bank plc, 30 November 2015 7 | DPA, failure to prevent bribery 7 | First UK DPA 7 |
| Rolls-Royce plc, 17 January 2017 8 | DPA approved by Sir Brian Leveson 8 | £258,170,000 disgorgement and £239,082,645 penalty 8 |
| Petrofac Limited, 4 October 2021 9 | Guilty plea to seven counts 9 | About £77 million in confiscation, fine and costs 9 |
| Smith and Ouzman Ltd, 22 December 2014 10 | Conviction after trial, three counts under the Prevention of Corruption Act 1906 10 | Southwark Crown Court 10 |
Common questions
Does the SFO cover Scotland?
No. The 1987 Act constitutes the SFO for England and Wales and Northern Ireland 1.
Can the SFO force people to answer questions?
Yes. A section 2 notice can require a person to answer questions or furnish information, and failing to comply without reasonable excuse is an offence 2.
Is a DPA a conviction?
No. The SFO describes a DPA as an agreement approved by a judge, and prosecution is deferred on its terms 6,7.
Who runs the SFO?
GOV.UK lists Graham McNulty QPM as Interim Director. Applications for the next Director opened on 7 October 2026 3.
Rules and fees change. Check the official site linked above before you apply or pay. Spotted an error? Email [email protected] with the official link.
Sources
- legislation.gov.uk: Criminal Justice Act 1987, section 1, The Serious Fraud Office
- legislation.gov.uk: Criminal Justice Act 1987, section 2, Director's investigation powers
- GOV.UK: Serious Fraud Office organisation page
- GOV.UK: SFO Annual Report and Accounts 2025-26 (16 July 2026)
- Serious Fraud Office: SFO strengthens corporate cooperation guidance (13 October 2026)
- Serious Fraud Office: SFO secures £10m from British defence supplier (1 May 2026)
- Courts and Tribunals Judiciary: Serious Fraud Office v Standard Bank plc, approved judgment (30 November 2015)
- Courts and Tribunals Judiciary: Serious Fraud Office v Rolls-Royce plc and Rolls-Royce Energy Systems Inc, approved judgment (17 January 2017)
- Serious Fraud Office: Serious Fraud Office secures third set of Petrofac bribery convictions (4 October 2021)
- Serious Fraud Office: UK printing company and two men found guilty in corruption trial (22 December 2014)
Related
- Standard Bank deferred prosecution agreement (UK, 2015)
The UK's first DPA: Standard Bank plc and the SFO, approved 30 November 2015 over a Tanzania sovereign note deal. Terms, amounts, SEC case and outcome.
- Rolls-Royce deferred prosecution agreements in the UK, US and Brazil (2017)
In January 2017 a UK court approved a £497 million SFO deferred prosecution agreement with Rolls-Royce. Counts, amounts, terms and US deal.
- Petrofac Limited guilty pleas and sentence for failing to prevent bribery (2021)
Petrofac Limited pleaded guilty in October 2021 to seven counts of failing to prevent bribery and was ordered to pay about £77 million.
- Smith and Ouzman Ltd convicted of corruption over Kenya and Mauritania contracts (2014)
A jury convicted printer Smith and Ouzman Ltd and two of its officers in December 2014 over £395,074 in corrupt payments in Kenya and Mauritania.
- UK deferred prosecution agreements explained
How DPAs work in England and Wales under Schedule 17 of the Crime and Courts Act 2013: who can enter one, court approval, terms, breach and admissions.