According to CoinDesk, the Labour Party won a landslide victory in the UK general election on Thursday (4th), ending the Conservative Party’s 14-year rule. Labour leader Keir Starmer is set to become the new Prime Minister of the UK. While his legislative plan for the regulation of cryptocurrencies remains unclear, the Labour Party has expressed intentions to advance the work on clear tokenization-related laws.
Reports indicate that the Labour Party has won more than the 326 House of Commons seats required to form a majority, holding 388 seats. According to predictions by the British Broadcasting Corporation (BBC), Labour may secure 410 seats, while the Conservatives may only have 144 seats. Neither party mentioned the cryptocurrency industry in their pre-election manifestos, with Labour focusing primarily on the economy, public safety, and national healthcare services.
UK Prime Minister Rishi Sunak has conceded defeat and apologized to his supporters. In his concession speech, he stated, “Tonight, the British people have made a sobering decision,” taking responsibility for the Conservative Party’s loss in the election.
Cryptocurrency Policy
The Conservative Party, due to its long tenure in power, had a clearer stance on cryptocurrencies. They had expressed a desire to make the UK a cryptocurrency hub and to enact legislation that would regulate cryptocurrency activities. The Labour Party, on the other hand, had shown support for the Bank of England’s digital pound initiative. The Bank of England will decide whether to issue a Central Bank Digital Currency (CBDC) between 2025 and 2026. Prior to this, the UK Parliament will need to approve the corresponding legislation.
In January of this year, the Labour Party released a financial services plan that included making the country a center for security tokenization through the advancement of clear tokenization-related laws.
Before the UK general election, members of the cryptocurrency community stated in an interview with CoinDesk that the Labour Party had more work to do, including passing the necessary regulations established by the previous government and strengthening the guidelines for promoting the cryptocurrency industry.