UK Lawmakers Launch Inquiry as Banks Freeze Out Crypto Firms

Parliamentary group opens inquiry into crypto banking access

The UK's Crypto and Digital Assets All-Party Parliamentary Group (APPG) opened an inquiry on 21 July 2026 into banking access for crypto companies. The cross-party group of lawmakers will examine why some banks refuse accounts to crypto firms or restrict their transactions. It will assess whether those restrictions are proportionate and how they affect consumers, businesses, innovation and competition across the UK. The APPG is chaired by Lord Ed Vaizey, a former minister for the digital economy, and Labour MP Gurinder Singh Josan. The group has raised the issue before but had not opened a formal inquiry until now.

Call for evidence runs until 31 August

The group launched a six-week call for evidence that runs from 21 July to 31 August 2026. It invited submissions from banks, payment service providers, crypto firms, fintechs, trade associations, regulators, academics and consumer groups. The inquiry will assess access to accounts and professional services such as insurance, alongside the transfer limits and payment blocks placed on crypto activity. Members want a detailed picture of how widespread these restrictions have become across the sector. The group plans to publish findings and recommendations for policymakers and regulators.

Vaizey cites years of banking complaints from firms

Vaizey said the group had collected consistent reports from the sector over several years. He linked the inquiry to long-standing frustration among firms that struggle to secure basic banking. The group has gathered these accounts through its regular engagement with industry.

"Over a number of years, the APPG has heard consistent reports from crypto and digital asset businesses that they face difficulties accessing bank accounts and banking services", 21 July 2026. — Ed Vaizey, Chair, Crypto and Digital Assets All-Party Parliamentary Group

The APPG framed its review around whether current restrictions remain justified.

Banks have limited crypto payments for years

Difficulties in securing banking relationships have followed the crypto industry since its early years. Several major UK banks have limited crypto-related payments, blocked transfers to certain firms or capped how much customers can send. Similar treatment in the United States drew the label "Operation Chokepoint 2.0" from industry figures who alleged coordinated debanking. The inquiry also arrives as the UK prepares a formal regulatory regime for digital assets under the Financial Conduct Authority (FCA). Supporters of the sector argue that clearer rules should ease banks' concerns and widen access. The APPG asked for evidence rather than endorsing any single view.

Inquiry will study crypto banking rules abroad

The inquiry will also look beyond the UK. The group said it would study how the United States, Hong Kong, Australia and the European Union (EU) have handled crypto banking access. It is seeking lessons from those markets to shape UK policy as the country builds its own crypto framework. Those markets offer different models for balancing crypto access with oversight. The group intends the findings to guide how UK banks treat the sector.

Bitcoin traded near $66,400 at publication

Bitcoin traded at $66,413 at the time of publication, up 3.1% over the previous 24 hours (CoinPaprika, 21 July 2026). The token stood about 47% below its all-time high from October 2025. Bitcoin's 24-hour trading volume reached about $26 billion (CoinPaprika, 21 July 2026). That market backdrop sits apart from the inquiry, which centres on banking access rather than prices.