Nine of the top ten UK retail banks are still blocking or limiting crypto transactions as the Financial Conduct Authority prepares to open its new crypto authorization gateway on September 30, 2026, ahead of the full regime on October 25, 2027. The FCA has published guidance covering stablecoin issuance, trading platforms, custody, dealing, arranging transactions and staking, but existing money-laundering registrations will not automatically convert into authorizations.
Restrictions vary widely. Barclays and HSBC UK cap transfers to exchanges at £2,500 per transaction and £10,000 per 30 days; Barclaycard stopped crypto purchases in June 2025. NatWest applies a £1,000 daily and £5,000 monthly cap, while Santander uses £1,000 per transfer and £3,000 per 30 days and separately blocks identifiable payments to Binance. Nationwide and Monzo set daily or rolling limits, while Chase UK blocks all identified cryptoasset payments and Metro Bank has not processed outbound payments to known exchanges since November 2024.
The FCA framework does not compel retail banks to lift those restrictions. HM Treasury has said banking decisions remain largely commercial while expecting licensed crypto firms to be treated fairly. The UK Cryptoasset Business Council estimates roughly 40% of bank-to-exchange transfers are blocked or delayed, and 80% of surveyed exchanges reported increased customer friction. Parliament is also examining crypto banking access.
As the authorization window runs from Sept. 30 to Feb. 28, 2027, firms already registered under AML rules still need new permissions if their activities fall within scope. The FCA plans further consultation in October after Treasury amendments clarified the regulatory perimeter. For now, FCA authorization of crypto businesses will not automatically remove retail bank payment limits, leaving a key barrier to the UK’s digital asset hub ambitions.
