UK Lawmakers Reach Out to Bank CEOs Regarding Crypto Account Issues

UK Banks Address Crypto Account Access Concerns

Members of the All-Party Parliamentary Group (APPG) on Crypto and Digital Assets have reached out to the chief executives of major UK banks to clarify their policies regarding cryptocurrency businesses. This initiative follows a parliamentary investigation launched on July 21, which aims to gather public input until August 31.

Co-chairs Labour MP Gurinder Singh Josan and Lord Vaizey of Didcot expressed concerns about the difficulties faced by crypto firms in securing bank accounts. In their letter, they highlighted numerous reports indicating that banks have imposed restrictions on crypto-related transactions, potentially stifling the growth of the UK’s crypto sector.

The letter outlines six key inquiries directed at the banks, asking for details on their policies toward crypto firms, current service provision, transaction restrictions, and how the upcoming regulatory framework might impact their stance. Josan and Vaizey also emphasized that banks should assess companies based on individual risk rather than generalizing across the industry.

Vaizey noted that the challenges faced by crypto businesses represent "an unnecessary obstacle" for entrepreneurs in the UK. Recent data showed that major banks, including HSBC and NatWest, have been blocking or delaying nearly 40% of transactions to crypto exchanges, citing concerns over scams and customer risks.

As banks continue to impose limits on crypto transfers, the UK Treasury has acknowledged these concerns. Economic Secretary Lucy Rigby indicated that under the new regulatory framework, FCA-licensed firms should not face restrictions solely based on their sector. The APPG's inquiry aims to gather evidence ahead of the new regulations set to take effect in October 2027.