Asked by: Lord Sarfraz (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what plans they have to regulate pound sterling-backed stablecoin; and what assessment they have made of the impact of the United States GENIUS Act on any such regulation.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The Government has confirmed that it will bring forward final legislation this year to create a financial services regulatory regime for cryptoassets in the UK. The Government recognises the growth and competitiveness opportunities of stablecoins, and its regime will allow firms to be licensed in the UK to issue stablecoins.
Following the passing of the GENIUS Act by the US Congress, the Government’s approach to cryptoassets positions the UK well to work with the US in advancing our shared ambition to foster world-leading cryptoasset markets.
Asked by: Kevin Hollinrake (Conservative - Thirsk and Malton)
Question
To ask the Right hon. Member for Kenilworth and Southam, representing the Speaker's Committee on the Electoral Commission, pursuant to the Answer of 10 June 2025 to Question 56565 on Political Parties: Crypocurrencies, if he will publish the guidance on non-standard donations.
Answered by Jeremy Wright
The Commission’s published guidance on donation permissibility, includes information on cryptocurrencies.
This guidance states that the controls which apply to donations of crypto assets are the same as the controls which apply to other types of donations. Donations must be from permissible sources and recipients must establish the value in pounds of donations at the time of receipt.
The Commission is currently reviewing this guidance so it can offer parties specific advice on handling donations of crypto assets, considering ongoing developments in the regulation of these assets.
Asked by: Lord Taylor of Warwick (Non-affiliated - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what assessment they have made of the use of cryptocurrencies as a payment method in the UK; and whether they plan to further regulate the use of those currencies.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The Government believes that cryptoassets, specifically stablecoins, have the potential to play a significant role in UK payments. The Government’s view is that action to bring UK-issued stablecoins into scope of payments regulation is best done alongside broader planned reforms to payments legislation. The Government intends to bring forward legislation delivering a comprehensive national regulatory framework for cryptoassets by the end of this year and is engaging with industry on draft legislation.
Asked by: Lord Taylor of Warwick (Non-affiliated - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what assessment they have made of the regulation of cryptocurrency to encourage public investment in digital assets; and what assessment they have made of the impact of that regulation on the economy.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The Government published draft legislation for the future financial services regulatory regime for cryptoassets on 29 April, with final legislation planned for before the end of the year.
The Government’s regulatory approach is seeking to strike the right balance between protecting consumers and giving the sector the space and flexibility to innovate.
HM Treasury will publish full impact assessments alongside its final legislation.
Asked by: Lord Taylor of Warwick (Non-affiliated - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government whether they plan to introduce further legislation to regulate the cryptocurrency market.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The Government has confirmed that it will proceed with introducing a new financial services regulatory regime for cryptoassets in the UK. The Government is seeking to bring forward legislation to create this regime as early as possible this year.
Asked by: Steve Darling (Liberal Democrat - Torbay)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps her Department is taking to regulate cryptocurrency exchanges to prevent their use in financial crime.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
Cryptoassets, specifically cryptoasset exchange providers and custodian wallet providers have been regulated under the Money Laundering and Terrorist Financing Regulations 2017 (MLRs) since January 2020.
The MLRs require UK cryptoasset firms to register with the Financial Conduct Authority (FCA) who act as a supervisory body to ensure firms have appropriate systems in place to prevent money laundering. The FCA also oversees financial promotions for cryptoassets, ensuring these adhere to regulations and are not misleading.
The Government has confirmed that it will proceed with creating a financial services regulatory regime for cryptoassets in the UK. Under this regime cryptoasset exchanges will be brought under broader FCA supervision, and subject to market abuse requirements.
Asked by: Mark Garnier (Conservative - Wyre Forest)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what discussions she has had with the Bank of England on creating a regulatory framework for stablecoins.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
HM Treasury has ongoing engagement with the financial regulators, including the Bank of England, on the regulatory treatment of cryptoassets. The Government plans to publish draft legislation for the creation of a financial services regulatory regime for cryptoassets as early as possible this year. This regime will include creating a new regulated activity for stablecoin issuance.
Asked by: Gregory Campbell (Democratic Unionist Party - East Londonderry)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, whether she has plans for a comprehensive financial services regulatory regime for cryptoassets in the UK.
Answered by Emma Reynolds - Secretary of State for Environment, Food and Rural Affairs
On 21 November 2024, the Government confirmed that it will proceed with creating a new financial services regulatory regime for cryptoassets. This regime will be in line with the proposals published by HM Treasury in October 2023.
Asked by: Tanmanjeet Singh Dhesi (Labour - Slough)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps his Department is taking to help ensure that the new regulatory framework for crypto assets and stablecoins will (a) enhance the UK's global competitiveness in fintech and (b) protect consumers from the volatility and risks associated with digital currencies.
Answered by Bim Afolami
Asked by: Tanmanjeet Singh Dhesi (Labour - Slough)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what regulatory measures are in place to ensure the stability and security of investments in cryptocurrencies; and whether any additional measures are being considered.
Answered by Bim Afolami