Question to the HM Treasury:

To ask the Chancellor of the Exchequer, when he expects to review the proposed 40% prudential risk weighting for cryptoassets, including non-UK stablecoins; and what international (a) regulatory developments and (b) market conditions would trigger such a review.

The Government's objective is to deliver a UK cryptoasset regime that appropriately balances the protection of consumers from detriment with a regulatory environment that supports innovation and growth.

The Financial Conduct Authority (FCA), as the independent expert regulator, is responsible for setting the prudential regime for regulated cryptoasset firms and ensuring firms hold appropriate financial resources and manage risks effectively.

The Government continues to maintain close dialogue with the FCA, including on international regulatory and market developments.