In preparation for the ban on financial-related cold calling, the UK Treasury has initiated a consultation process and requested evidence to assess the ban's complete impact on businesses and the associated costs of its introduction and enforcement.
On May 3, the UK government unveiled an ambitious anti-fraud strategy, including the addition of 400 new jobs to bolster its intelligence-led policing approach. According to the National Crime Agency, fraud costs the UK approximately £7 billion ($8 .7 billion) annually.
Andrew Griffith, Economics Secretary at the Treasury, declared that the government would not tolerate such behavior, referring to the growing trend of financial services and products targeting vulnerable individuals. The Treasury highlighted instances of investor losses due to cold calling, including cases involving cryptocurrencies. Despite previous restrictions on cold calling, scammers frequently exploit loopholes, necessitating a comprehensive ban. To ensure this ban effectively curbs scammers while minimizing business impact, the Treasury posed 19 questions to stakeholders. The consult cation period concludes on September 27, 2023.
The UK government recently dismissed calls to categorize cryptocurrencies as gambling and subject them to regulation. It announced that HM Treasury and the Financial Conduct Authority (FCA) will collaborate with the cryptocurrency industry to ensure firms understand the standards re required for FSMA Gateway approval. The government emphasized the need for alignment with international recommendations and standards, cautioning against a unilateral approach.
