UK banks get more than 10,000 complaints in three months over crypto transfer limits

More than 10,000 complaints about banks blocking or limiting crypto purchases were filed in the UK over a 90-day period between May and August, according to the advocacy group Stand With Crypto. The group says the volume shows that everyday banking rules are making it hard for people to buy crypto, even as the government promotes the country as a future global crypto hub.

The numbers behind the complaints

• 10,092 complaints were submitted through an online tool by 9,800 individuals, according to Stand With Crypto.
• Complainants came from all 650 UK parliamentary constituencies.
• Lloyds Banking Group, which includes Halifax and Bank of Scotland, received the most complaints at 2,297, or 23% of the total.
• Barclays followed with 1,569 complaints, and NatWest Group received 1,278.
• The data was voluntary and was not adjusted for each bank's market share, so it does not represent all customers.

What Stand With Crypto says the banks are doing

Stand With Crypto said banks are using blanket bans, rigid limits and unclear policies on crypto transactions. The group argues that these restrictions can block people from moving money to regulated crypto exchanges — online platforms where digital assets can be bought and sold — and could undermine Britain's stated goal of becoming a global cryptocurrency hub.

According to the report, the UK first announced its support for the crypto industry in 2023, when Rishi Sunak was chancellor of the exchequer under the Conservative government. The stance was later reiterated by Lucy Rigby, economic secretary to the Treasury, less than a year ago under a Labour administration.

Coinbase joins the criticism

Katie Harries, Coinbase's head of European policy, said in an email interview that bank transfers are a key way customers add money to accounts on the platform. She noted that Coinbase is registered with the Financial Conduct Authority (FCA), the UK's financial regulator, but is still subject to the same blanket restrictions as the wider crypto sector.

"A country cannot credibly invite innovators in while allowing banks to lock consumers out," Harries said, adding that the restrictions would "dampen the growth of the U.K.'s digital asset sector, with ramifications for associate investment here."

What is confirmed and what is not

The complaint figures come from Stand With Crypto's own report and are based on voluntary submissions, not an official regulator's data. CoinDesk noted that the figures require some qualification, as they were not adjusted for each bank's share of customers. The full details of that qualification were cut off in the source material, so further caveats from the report could not be verified. The complaints reflect customers' grievances; they do not on their own prove the banks acted improperly.

Why it matters for UK crypto users

The government and the FCA are preparing a comprehensive regulatory regime intended to attract crypto businesses, with an application window that opens with a February deadline. Stand With Crypto's argument is that these efforts may have limited effect if banks continue to restrict transfers to regulated venues, since customers cannot fund their accounts without banking access.

Where this goes from here

The source material does not describe any formal investigation of the banks or any announced policy change in response to the complaints. Crypto firms and exchanges have a February deadline to apply under the UK's upcoming regulatory regime, which is the clearest next step mentioned in the report.

Sources

• CoinDesk