UK lawmakers warn banks’ crypto stance threatens sector

UK lawmakers warn that banks’ reluctance to serve crypto firms could hamper sector growth, urging policy clarity as banking access remains a key barrier for digital asset businesses.

UK parliamentary groups have raised concerns about major banks' reluctance to provide services to crypto and digital asset companies. They warn that such restrictions could significantly hinder the growth of the UK's digital asset sector. Lawmakers have sent letters to the CEOs of leading banks, seeking clarification on their policies. They highlighted repeated reports of crypto businesses struggling to open or maintain accounts. Several banks, including HSBC, Nationwide, NatWest, Santander UK, and Starling Bank, have imposed limits on crypto-related transactions. The parliamentary groups emphasized that restricted access to banking services is a major obstacle for the industry and could undermine the effectiveness of upcoming crypto regulations. A consultation is ongoing, with feedback accepted until the end of August, after which a report with recommendations will be published.