The United Kingdom government is moving forward with plans to temporarily ban political donations made through cryptocurrencies, following an independent review and mounting pressure from senior politicians.
An inquiry known as the Rycroft Review, which examined foreign financial interference in the country’s political system, recommended introducing a moratorium on crypto donations to political parties.
Prime Minister Keir Starmer confirmed on Wednesday that the government intends to implement the measure. Speaking during Prime Minister’s Questions, he said the UK would act decisively to safeguard its democracy, including introducing a temporary ban on cryptocurrency-based political donations.
The move follows calls from several members of parliament—including the chair of the security committee—for stricter rules or a full ban this year, citing concerns that foreign actors could use crypto payments to influence UK politics.
Under the proposed measure, cryptocurrency donations to political parties would be banned until stronger regulations are introduced to prevent untraceable funding and foreign interference in UK elections, according to a government statement released Wednesday.
The change would require amendments to the Representation of the People Bill, with the government indicating that the ban would take retrospective effect from March 25.
The legislation is currently at the committee stage in the House of Commons. To become law, it must pass both the Commons and the House of Lords, before receiving royal assent from King Charles III.
The government said that once the legislation takes effect, political parties and regulated entities—including candidates and MPs—will have 30 days to return any unlawful donations received during the interim period, after which enforcement action could be taken.
Reform UK was the first party in the country to accept crypto donations, with leader Nigel Farage announcing at the Bitcoin 2025 in Las Vegas that the group would accept Bitcoin and other cryptocurrencies from eligible donors.
The ban will remain in place until both Parliament and the Electoral Commission determine that the regulatory framework is strong enough to ensure transparency and confidence in crypto-based political donations.
The UK’s next general election is scheduled to take place no later than August 15, 2029.
