Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what steps she is taking to ensure the UK remains internationally competitive in financial technology innovation.

The UK is a world leader in Fintech, and attracted $3.6 billion of investment in 2025, second only to the US. The Government is committed to making the UK the world’s most technologically advanced global financial centre, and remaining a leading jurisdiction for Fintech firms to start, scale, list, and stay.

In addition to measures announced in the Financial Competitiveness and Growth Strategy and at Budget, the Government set out at UK Fintech Week 2026 further detail on how it intends to modernise payment services regulation and update it to support new innovations in money and payments, ahead of soon publishing a consultation inviting the payments sector to feedback. This includes improving the regulation of payment services and electronic money by better integrating it with the UK’s core regulatory approach for financial services; regulating stablecoins for their use in payments, where these stablecoins have been issued under the forthcoming new regulated activity for stablecoin issuance in the UK; exploring how the regulation of payments services should adapt to payments conducted by AI agents; and providing the FCA new powers to regulate the future of Open Banking. The Government also published as part of the package draft secondary legislation to cut administrative burdens for companies wanting to provide stablecoin payments.

The Government has also appointed Chris Woolard CBE as Wholesale Digital Markets Champion, to provide market leadership and support industry progress on the development of a tokenised wholesale financial markets ecosystem.