The UK House of Lords has backed a mandatory digital asset strategy, voting 194–138 on Wednesday to add the measure to the Financial Services and Markets Bill. The Labour government opposed the amendment.
The 194–138 Vote
Amendment 88, introduced by Conservative peer Baroness Neville-Rolfe, would require the Treasury to prepare, publish and consult on a digital asset strategy within 12 months of the bill becoming law. The strategy would cover cryptoassets, stablecoins and tokenized securities, while addressing issues including innovation, consumer protection and firms’ access to banking, payment and settlement services.
The amendment was added to the Financial Services and Markets Bill during its Report Stage on Wednesday. The bill is progressing through Parliament and would make broader changes to the UK’s financial services regulatory framework.
Labour’s Objection
The vote follows months of debate over the UK’s approach to digital assets. During a July debate, Treasury’s Minister for Investment, Lord Stockwood, pushed back on calls for a statutory framework, saying the government believed it already had a digital asset strategy and was executing it.
The ruling Labour party opposed the amendment because it believed the measure did not adequately address the rapid development of digital assets and the need for a cohesive regulatory framework.
The government’s position was that existing work already covered the ground. Lord Stockwood argued during the July debate that a statutory mandate was unnecessary, pointing to the strategy the Treasury was already carrying out.
Industry Welcome
The UK Cryptoasset Business Council, which said it worked with lawmakers on the amendment, welcomed the vote on Thursday. The council highlighted Lord Chris Holmes’ question of whether the UK is “simply regulating digital assets” or “building a digital assets economy.”
“Simply regulating digital assets” or “building a digital assets economy.”
That question cuts to the heart of the debate. The council, which represents firms across the sector, framed the amendment as a step toward a more deliberate approach to digital assets.
The Road to the Commons
The bill must still return to the House of Commons, where lawmakers can accept, amend or reject the Lords’ changes. The Treasury would have 12 months from the bill’s enactment to deliver its strategy.
The amendment’s path is not yet complete. If the Commons rejects the change, the bill could bounce between the two chambers before a final version is agreed.
| Stage | What Happens |
|---|---|
| Wednesday | Lords vote 194–138 for Amendment 88 |
| Next | Bill returns to House of Commons |
| After | Commons accepts, amends or rejects the change |
| If enacted | Treasury has 12 months to publish strategy |
The strategy itself would need to be published and consulted on within that window, meaning the Treasury would have to move quickly once the bill becomes law. The timeline is tight, and the scope is broad.
That question now sits with the Commons.
Source: cointelegraph.com
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