According to CoinDesk, the Labour Party won a resounding victory in the UK general election on Thursday (4th), ending the Conservative Party’s 14-year reign. Labour leader Keir Starmer is set to become the new Prime Minister of the UK. While his legislative plans for cryptocurrency regulation remain unclear, the Labour Party has expressed intentions to advance laws related to clear tokenization.
Reports indicate that Labour has won more than the 326 House of Commons seats required to form a majority, holding 388 seats. According to BBC forecasts, Labour could secure 410 seats, leaving the Conservatives with only 144. Neither party mentioned the cryptocurrency industry in their pre-election manifestos, with Labour focusing on the economy, public safety, and national healthcare.
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, having governed for an extended period, has a clearer stance on cryptocurrencies. They have expressed a desire to make the UK a cryptocurrency hub and enact legislation to regulate cryptocurrency activities. The Labour Party, on the other hand, has 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 this year, Labour released a financial services plan, which includes making the country a center for security tokenization through “advancing laws related to clear tokenization.”
Before the UK general election, members of the cryptocurrency community stated in an interview with CoinDesk that Labour has more work to do, including passing necessary regulations established by the previous government and strengthening guidelines for promoting the cryptocurrency industry.