Over the past few months, we’ve witnessed a steady drumbeat of regulatory developments—some bold, others more subtle—that collectively point to a transformation in the compliance landscape.
From enforcement trends in financial services to sweeping deregulatory pushes and AI-driven innovations in healthcare, the message is clear: compliance professionals need to stay agile, informed, and engaged.
Here are three developments that deserve your attention—and what they could mean for your compliance program.
The new math of enforcement: Fewer actions, bigger penalties
Wolters Kluwer’s most recent Regulatory Violations Intelligence Index shows a striking pivot in U.S. enforcement strategy: while the number of violations dropped 35% in the second half of 2024, total penalties jumped 83% to $5.44 billion. Enforcement is becoming more targeted, with regulators homing in on high-impact violations that carry hefty price tags.
For compliance teams, this recalibration underscores the importance of understanding your organization’s true areas of risk—not just those that might attract regulatory scrutiny, but those with the potential for operational or reputational damage. This shift suggests that even in a deregulatory environment, the cost of noncompliance may become steeper, not gentler.
Deregulation in practice: The EPA’s “email us” exemption
On the environmental front, recent moves by the EPA have raised eyebrows. A new process allows companies to request exemptions from key environmental protections—simply by sending an email. While framed as a national security measure, the policy has sparked criticism from legal experts and environmental groups concerned about transparency, safety, and long-term public health impacts.
Whether or not your organization falls under EPA oversight, this development signals a broader trend that compliance professionals should watch closely: regulatory norms are shifting rapidly, and public accountability may erode alongside them. It’s also important to remember that deregulatory efforts often swing like a pendulum—what feels like a permanent change today may be reversed tomorrow. In that context, the reputational risk of seeking (or appearing to exploit) an exemption could easily outweigh any short-term savings.
A glimpse of the future: AI transforms healthcare regulation
Meanwhile, across the Atlantic, outgoing CEO of the UK Medicines and Healthcare products Regulatory Agency (MHRA), Dame June Raine, offered a compelling view of how innovation is reshaping regulation. AI tools are now streamlining clinical trial approvals, reducing aspects of the process from hours to seconds, and enabling regulators to focus on complex or high-risk assessments. The goal isn’t to replace human judgment, but to amplify it.
Compliance teams should take note: this is the future of regulation. Whether you're in healthcare, finance, or manufacturing, regulators are beginning to harness the same tools your business might already be exploring—machine learning, data analytics, and automation—to become faster, smarter, and more targeted.
Final thoughts
Just days ago, the DOJ launched a new Anticompetitive Regulations Task Force, signaling a broader deregulatory push framed in terms of economic growth and market access. But what these developments all share—whether they’re cutting red tape or using AI to improve safety—is a recognition that regulation is not static.
For compliance professionals, that’s both a challenge and an opportunity. It means staying plugged in to how rules are enforced (or not), advocating for your organization to do the right thing even when no one’s watching, and finding ways to use technology to keep up with—and even shape—the regulatory road ahead.
The landscape is shifting. The stakes are rising. But if we stay curious, connected, and courageous, compliance can be a force for good—even in uncertain times.
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Deborah Mercier, Senior Compliance Counsel, is a licensed attorney with over 13 years of experience in the compliance field, spanning a diverse range of sectors. She is deeply committed to developing engaging and effective ethics and compliance training programs and helping organizations align their business objectives with legal and regulatory requirements.
