Coinspeaker
UK Election Front-Runners Remain Silent on Crypto Issues
As the UK general election approaches on July 4, 2024, major political parties have largely avoided discussing cryptocurrency, leaving the industry’s future uncertain. Despite the Labour Party’s substantial lead in the polls, its campaign has scarcely touched on crypto, focusing instead on broader economic and social issues.
Labour’s Quiet Stance on Crypto
The Labour Party, led by Keir Starmer, is predicted to secure a majority with 42% of voter support, according to a June Ipsos survey. The Conservatives trail with 19%. Throughout the campaign, Labour has shown minimal interest in crypto, offering only vague references to promoting a pro-competition environment and supporting digital pound initiatives.
During the final debate between Prime Minister Rishi Sunak and Starmer, topics like welfare, immigration, and the European Union took precedence, pushing crypto to the sidelines.
In contrast, Sunak’s Conservative government had previously pursued crypto-forward policies, yet their current manifesto also lacks significant crypto-related proposals. Despite this, industry insiders remain cautiously optimistic. Laura Navaratnam, UK policy lead at the Crypto Council for Innovation, noted that while Labour’s manifesto is silent on crypto, it hasn’t expressed negative sentiments either.
Globally, the focus on crypto varies. In the US, Republican candidate Donald Trump has occasionally highlighted crypto issues, though they were absent from the first presidential debate. Elsewhere, countries like South Africa, Croatia, Finland, Lithuania, and France have also seen limited discussion on crypto in their election campaigns.
Industry Perspectives and Regulatory Needs
Despite the political silence, the crypto industry continues to advocate for regulatory clarity. George McDonaugh of KR1 emphasized the sector’s potential to generate growth and jobs. Eleanor Gaywood from Coincover highlighted the need for concrete policies post-election, stressing that innovation support from both major parties is encouraging but insufficient without detailed plans.
The UK had been expected to advance legislation for the Financial Conduct Authority to regulate stablecoins and establish market abuse rules. However, the early election call by Sunak delayed these efforts. Industry voices like Jordan Wain from Chainalysis argue for comprehensive promotion rules and further regulatory guidance to ensure market integrity.
As the election day looms, the crypto community remains hopeful that the next government will address these critical issues, ensuring the UK remains competitive in the rapidly evolving digital asset landscape.
