UK Banker Calls for Stamp Duty on Cryptos to Help Drive Economy

UK-based investment bank Cavendish’s chair has referred to the increasing crypto buyers in the UK as “terrifying.” Lisa Gordon, who has held non-executive positions at various leading financial institutions including JP Morgan Small Cap Growth & Income PLC, said that stamp duty should be applied on cryptos.

She encouraged Britons to invest their savings into shares instead of cryptos. Gordon described crypto investing as “a non-productive asset”.

“It doesn’t feed back into the economy,” she said, according to The Times report. “It should terrify all of us that over half of over-45s own crypto and no equities.”

Further, she said that the UK should tax crypto buyers and scrap taxes on stock purchases in order to boost the economy.

“I would love to see stamp duty cut on equities and applied to crypto.”

UK’s Rapid Crypto Adoption Rate

Per FCA research, more than seven million UK adults – roughly 12 per cent of the adult population – now own crypto, with both awareness and average portfolio values increasing year-over-year.

Bivu Das, UK general manager at Kraken noted that the UK is “on the brink of mass crypto adoption,” after the crypto exchange recently secured an EMI license with the UK regulator.

The UK jumped from 14th place in 2023 to 12th place in 2024, per Chainalysis’ crypto adoption index, despite the Financial Conduct Authority’s scrutiny of digital asset service providers in the country.

Awareness and ownership of crypto is on the rise in the UK.

Crypto is currently largely unregulated and high risk. If you buy crypto you should be prepared to lose all your money.

Read our research https://t.co/uUJpYfqVcz#CryptoAssets #CryptoUK #CryptoResearch pic.twitter.com/EpKH8uKQBD

— Financial Conduct Authority (@TheFCA) November 26, 2024

Britons Race to Own Cryptos

Gordon stressed that the UK citizens are “not risk-averse,” given the increase in crypto adoption among locals. She added that many have “shifted to saving rather than investing,” which is “not going to fund a viable retirement.”

Although, Gordon claimed that when compared to other markets like the US, Britain is a “safe haven.” Due to the US President Trump’s tariff threats and recession fears, the country has lost trillions of dollars in its stock market.