Chancellor Rishi Sunak has hailed the commencing of ‘a new chapter’ for the UK’s financial sector following Brexit.
Describing it as one of the UK’s ‘most innovative sectors’, the UK government underlined that legislation and decisions will be led by what is best for the sector.
As well as this, he also outlined a new invigorated focus on digital currency, with the issuing of the UK’s Sovereign Green Bond, becoming the first country in the world to make TCFD-aligned disclosures mandatory, reviewing the UK’s listings regime to attract the most innovative firms, and leading the global conversation on new technologies like stablecoins and Central Bank Digital Currencies.
Sunak stated: “We are starting a new chapter in the history of financial services and renewing the UK’s position as the world’s pre-eminent financial centre. By taking as many equivalence decisions as we can in the absence of clarity from the EU, we’re doing what’s right for the UK and providing firms with certainty and stability.
“Our plans will ensure the UK moves forward as an open, attractive and well-regulated market, and continues to lead the world in pioneering new technologies and shifting finance towards a net zero future.”
Sunak is seeking to strengthen the UK’s position as a frontrunner in terms of the financial sector and specifically within financial tech.
With fresh advancements in new technologies such as stablecoins – privately-issued digital currencies – potentially transforming the way people store and exchange their money, making payments cheaper and faster.
To harness the potential benefits of stablecoins, whilst managing risks to consumers and financial stability, the Government will propose a regulatory approach for relevant stablecoin initiatives that ensures they meet the same minimum standards we expect of other payment methods.
Furthermore, the prevalence and significance of digital currency has been further grown as commerce and the economy has endured the turbulence of the coronavirus pandemic. It has led to less cash-carrying and far more reliance and desire to embrace digital currency and transactions.