UK Parliament Group Opens Inquiry Into Crypto Industry's Access to Banking

A cross-party group in the UK Parliament is opening an inquiry into the crypto industry's access to banking services.

The All-Party Parliamentary Group for Crypto and Digital Assets said July 21 that it will examine the difficulties crypto firms face when opening and maintaining bank accounts, as well as restrictions banks place on crypto-related transactions, according to The Block.

The group said it has repeatedly heard reports that crypto and digital-asset companies are struggling to access bank accounts and banking services. Banking access is essential for all legitimate businesses, it added, and unnecessary barriers could hinder growth, investment and innovation.

The inquiry begins weeks after the UK unveiled a new regulatory framework for crypto assets. The framework is due to take effect on Oct. 25, 2027.

The APPG also plans to review approaches in other major jurisdictions, including the US, Hong Kong, Australia and the European Union. It will accept written submissions from the banking, payments, fintech and crypto industries for six weeks from July 21 to Aug. 31, before publishing its findings and recommendations for the government.

The group said the publication of the UK's new crypto regulatory framework makes this the right time to assess whether remaining barriers ahead of implementation could undermine the government's goal of making Britain a global digital-asset hub.

The inquiry also coincides with political change in the UK. The Block reported that Labour's Andy Burnham took office as prime minister on July 20, and the new government's financial reform agenda could also affect the digital-asset industry.