Rishi Sunak, chancellor of the Exchequer for the UK, reportedly revealed that stablecoins and cryptos are included within the scope of financial reforms, which the authority is looking to carry out in the future. 

Specifically, during his speech to lawmakers at the Lord Mayor of London’s residence, Sunak reportedly revealed that the UK authority is looking to finalize the implementation of suggestions, focusing on the establishment of the nation as a hub of fintech innovation and business.

Although Sunak revealed that the government would offer protection for its citizens’ access to cash, he further stated that it would place a supervision on updates in finance and tech, together with spending resources on its own reforms for virtual assets. 

Citing insights revealed in an independent review of the U.K. fintech firm by entrepreneur Ron Kalifa, Sunak reportedly shared that officials would offer consultancy on pioneering reforms, to back up the “safe adoption of crypto assets and stablecoins”, together with deep-diving into the case for the Bank of England issuance of a CBDC. 

The February report reportedly put up proposals for the adjustments of the nation’s regulatory framework on new technologies, providing more encouragement for fintech-focused education, nurturing current fintech companies in the U.K., and more.

The UK has reportedly been spending its resources in studying a CBDC for a while. The nation took a significant stride in 2020 when both the Bank of England and HM Treasury disclosed their initiatives of studying “whether and how central banks can issue their own digital currencies as a complement to cash.”

After Kalifa’s review in February was publicly published, the government has formed a CBDC task force, dedicated to deep-diving into preliminary obstacles related to the design implementation and operation of a CBDC in the United Kingdom.