UK Lawmakers Launch Inquiry Into Crypto Banking Access
What happened: The UK’s Crypto and Digital Assets All-Party Parliamentary Group (APPG) launched an inquiry on July 21, 2026, into why major banks—including HSBC, Nationwide, NatWest, Santander, and St
What happened: The UK’s Crypto and Digital Assets All-Party Parliamentary Group (APPG) launched an inquiry on July 21, 2026, into why major banks—including HSBC, Nationwide, NatWest, Santander, and Starling—restrict accounts and payments for crypto firms. The group is accepting written evidence through August 31, 2026. According to industry research, ~40% of transfers to crypto exchanges are blocked or delayed, and 70% of surveyed exchanges report that banking restrictions are harming UK investment and hiring.
Why it matters: The inquiry will test whether sector-wide banking restrictions constitute unlawful debanking, as the UK prepares for its mandatory crypto regulatory regime in October 2027. While the APPG’s recommendations are advisory, the process could influence future policy and banking practices. Banks cite AML and fraud risks, but the inquiry’s findings may pressure them to ease blanket restrictions for FCA-licensed crypto firms.