Nationwide Building Society

The co-chairs of Parliament's Crypto and Digital Assets All-Party Parliamentary Group have written to the chief executives of every major UK bank, asking them to explain how they treat crypto and digital asset firms. The letter, sent Tuesday by Labour MP Gurinder Singh Josan and Lord Vaizey of Didcot, says the group has heard repeated instances where crypto and digital asset firms have struggled to open accounts with UK banks, alongside reports that several banks have restricted crypto-related payments. The co-chairs put six questions to each bank, covering policy, current service to crypto firms, transaction limits, driving factors, the impact of the incoming regime, and what the Government or regulators could do to help. UK banks including HSBC, Nationwide, NatWest, Santander and Starling have curbed crypto-related payments in recent years, with research from the UK Cryptoasset Business Council in January finding that banks were blocking or delaying an estimated 40% of attempted transfers to crypto exchanges. HM Treasury has already conceded the problem, with Economic Secretary Lucy Rigby telling Parliament in March that under the new regime the Government would not expect FCA-licensed firms to face restrictions from banks simply because of the sector they belong to.

A cross-party group of UK lawmakers has launched a parliamentary inquiry into the banking problems dogging the country's crypto industry. The Crypto and Digital Assets All-Party Parliamentary Group, co-chaired by Lord Vaizey of Didcot and Labour MP Gurinder Singh Josan, will probe why firms struggle to open accounts and why banks curb crypto-related payments. The inquiry comes weeks after the UK finalized its new crypto regulatory framework and will test whether banking barriers could undermine the Government's goal of making the country a global leader in digital assets. It will examine access to accounts and services, including insurance, along with transfer limits and payment blocks imposed by banks such as HSBC, Nationwide, NatWest, Santander and Starling Bank. The APPG is taking written evidence until August 31 before publishing a report with recommendations ahead of October 2027, when the new crypto regime becomes mandatory.