British Prime Minister Rishi Sunak was required to announce a general election in the United Kingdom before January 2025, but his decision to hold one in July could push back the implementation of crypto policies in the country.
Speaking to Cointelegraph at the Consensus conference in Austin on May 30, CryptoUK Board Advisor Ian Taylor said the July 4 election would likely delay crypto regulatory policy in the country through the Financial Services and Markets Act by a matter of months. The U.K. government initially announced plans to present a regulatory framework for cryptocurrencies and payment stablecoins in July before any election.
“It’s not great,” said Taylor, referring to the delay of U.K. crypto policy. “Asia and Europe are way ahead of the game.”
The election could shake up party control of the U.K. government, potentially leading to changes in crypto policy down the road. The Conservatives have been the primary governing party in the U.K. since 2010, but many polls suggested that the Labour Party under Keir Starmer could replace the current government after the election.
“The worst case scenario [under a new government] is the highly unlikely probability that they see crypto as really bad [...] and say this isn’t a priority,” said Taylor. “The message we’ve seen thus far is they supported decisions [in favor of] crypto.”
Holding the next general election in July means that before either party takes control of the U.K. government, it will have a summer recess and later enter party conference season. The House of Commons will be in recess from May 30 to July 4 and for much of September and October. According to Taylor, these delays could mean that crypto regulation is not “going to get real activity” for months.
Related: UK election on July 4: What would Labour Party win mean for crypto?
Unlike many Members of Parliament associated with the Conservative Party, Labour leadership has made few, if any, public statements either for or against digital assets. Lisa Cameron, a pro-crypto lawmaker who served as a Conservative MP from 2015 to 2024, said in October she would not be standing at the general election.
Across the pond in the United States, the rhetoric around cryptocurrencies and policies over central bank digital currencies seem to be more of a political issue as the 2024 presidential election approaches — and held on Nov. 5, Guy Fawkes Day. The expected candidates for the leading political parties are current U.S. President Joe Biden and now-convicted felon Donald Trump.
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