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The digitalisation of UK capital markets: Digitalised financial market infrastructure and tokenised bonds

Digitalisation and the application of key technologies, such as distributed ledger technology (DLT), are reshaping the landscape of global finance. In this report, TheCityUK has collaborated with Hogan Lovells to consider the...more

The Payments Newsletter including Digital Assets and Blockchain, November 2024

Key developments of interest over the last month include: the UK Chancellor of the Exchequer makes her first Mansion House speech and HM Treasury publishes the National Payments Vision, indicating a focus on economic growth...more

An update on a UK CBDC: Bank of England and HM Treasury respond to consultation

On 25 January 2024, the Bank of England and the UK Government (through HM Treasury) published a response to the consultation (the “Consultation Response”) that was launched last year on a UK retail central bank digital...more

UK regulator addresses deposit-takers on innovations in deposits, e-money and stablecoins

On 6 November 2023, the Prudential Regulation Authority (PRA) published a Dear CEO Letter addressed to deposit-taking entities (e.g. banks) in relation to innovations in deposits, e-money and stablecoins. The Dear CEO Letter...more

Bank of England discussion paper on regulatory regime for systemic payment systems using stablecoins

As mentioned in HM Treasury’s October 2023 policy update on plans for regulating stablecoins, the Bank of England (Bank) has published a discussion paper providing more details on its proposed regulatory regime for systemic...more

UK stablecoins regulatory regime: FCA and Bank of England publish proposals

Following HM Treasury’s October 2023 policy update on plans for regulating stablecoins, the Bank of England (Bank) and the Financial Conduct Authority (FCA) have published discussion papers providing more details on aspects...more

UK Government policy updates: Regulation of fiat-back stablecoins and failure of systemic DSA firms

On 30 October 2023, the UK government published an update on its legislative approach for regulating fiat-backed stablecoins, following on from its consultation on the UK regulatory approach to cryptoassets and stablecoins in...more

UK Government confirms proposals for future financial services regulatory regime of digital assets

On 30 October 2023, the UK government published its response to the consultation and call for evidence on the future financial services regulatory regime for cryptoassets, whereby HM Treasury has confirmed its final...more

Financial Institutions Horizons 2023

The outlook for 2023 looks uncertain, following another tumultuous year. The collapse of a number of large cryptocurrency exchanges has shone another spotlight on the digital asset market. The financial system’s resilience...more

Towards a digital pound? Bank of England and HM Treasury consult on design for UK retail CBDC

The Bank of England and HM Treasury are consulting on the model for a UK retail central bank digital currency (CBDC) or ‘digital pound’ that would sit alongside, not replace, cash. On the basis of their work to date, both the...more

UK Cryptoassets: HMT consultation and call for evidence on a future financial services regulatory regime

On 1 February 2023, HM Treasury published a long-awaited consultation paper and call for evidence setting out proposals for the UK’s financial services regulatory regime for cryptoassets. The proposals mark the next stage of...more

UK: Bespoke temporary exemption for financial promotions relating to qualifying cryptoassets

In a departure from recent proposals to bring certain cryptoassets into the scope of the Financial Promotion Order, the government intends to introduce a bespoke temporary exemption for financial promotions relating to...more

UK Treasury proposes a law to regulate ‘critical’ third party service providers in finance sector

On 8 June 2022, HM Treasury published its policy statement, outlining a proposal to regulate third parties to financial services and financial market infrastructure firms (“Firms”). This proposal comes shortly after the EU,...more

HM Treasury stablecoin regulation proposals aimed at positioning UK as global crypto hub

HMT has published its response to its January 2021 consultation and call for evidence on the UK regulatory approach to cryptoassets and stablecoins. The consultation response confirms the government’s intention to bring...more

HM Treasury brings crypto further within the scope of financial services regulation

On 18 January 2022, HM Treasury published the results of its July 2020 consultation on cryptoasset promotions, and confirmed that the UK government will introduce measures that will effectively bring a wider range of...more

HM Treasury consults on UK regulatory approach to cryptoassets and stablecoins

The UK Treasury has issued a consultation on the regulatory approach to cryptoassets and stablecoins. It discusses the current regulatory landscape for cryptoassets, puts forward proposals for the extension of the regulatory...more

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