Safeguarding against squaring

‘Squaring’ is a colloquial term, used to describe the process where criminals use others, known as ‘money mules’, to launder illegally acquired money. It enables criminals to hide the origin of illicitly gained funds from authorities and evade prosecution.

The National Crime Agency (NCA) estimates that approximately £10 billion of illegal money is laundered each year in the UK, and around 23% of money mules are under the age of 21.

Although anyone can be targeted, ‘squaring’ is increasingly becoming a form of Child Criminal Exploitation (CCE). As children and teenagers often have a limited understanding of financial crime, they are particularly vulnerable to being recruited as ‘money mules’.

So why are children vulnerable?

They are targeted due to their naivety and trust. They are often more trusting and less suspicious of online offers or requests. Children may also be tempted by the promise of quick and easy money, especially if they are facing financial pressures. Their active online presence makes children easily accessible to criminals who operate through social media, online gaming platforms, and messaging apps. Many children lack awareness of the legal consequences of money laundering, and so participate willingly.

Methods used to coerce children into the ‘squaring’ process

Perpetrators use a variety of methods to coerce children into the ‘squaring’ process. Mediums include:

Social Media

Perpetrators may use fake profiles to befriend children in order to gain their trust before asking them to transfer money.

Online Gaming Platforms

Young people may be approached by perpetrators masquerading as other players, who then offer them rewards for transferring money.

Online Job Offers

Criminals may post fake work opportunities or job advertisements online, promising high pay for simple tasks, such as transferring money.

Phishing Emails and Texts

Children and young people may receive phishing emails or texts that trick them into providing their bank details or transferring money.

Direct Contact

Not all perpetrators are strangers. They can be people known to the child, who can pressure them into this type of activity.

Safeguarding Children

As the trend for targeting children is increasing, schools play a key role in safeguard pupils from becoming involved. This includes:

Open communication

Talking to and discussing the dangers of money laundering with pupils and explaining the methods criminals may use try to recruit them.

Highlighting ‘squaring’ in online safety lessons

Teaching children about the risks, including the sharing of personal information such as bank details online and accepting offers from strangers.

Explaining the consequences

Emphasising the legal consequences of money laundering, including fines and the risk of imprisonment (up to 14 years).

Encouraging critical thinking

Teaching children to critically question offers that seem too good to be true.

Focussing on peer pressure

Discussing how people they know can pressure them into doing things they know are wrong, and what action to take if this happens.

A Role for Parents

Parents also have a role to play, however, they may be unaware of ‘squaring’ and how their child could be targeted. Schools can raise awareness through providing information e.g. posters, information through letters, text alerts and the school website parent hub; with practical advice such as supervising their children's online activity and being aware of the websites and apps their children are using. Parents can also monitor their child’s bank statements and online transactions for any suspicious activity. They should also know how to report suspicious activity. Schools may support parents to contact the police.

As with all forms of safeguarding, early intervention and open communication are essential in safeguarding children from financial exploitation. Protecting children from ‘squaring’ requires a proactive approach, so it is essential this topic forms a key part of staff training and the curriculum.

Sam Preston

SSS Learning Safeguarding Director

5 March 2025