UK Banks Hit With 10,000 Complaints Over Crypto Purchase Restrictions in Just Three Months

More than 10,000 complaints about bank limits on crypto purchases were filed across Britain between May and August, according to the advocacy group Stand With Crypto. The 10,092 complaints came from 9,800 people and covered all 650 parliamentary constituencies. The findings clash with the UK’s goal of becoming a global crypto hub, a stance first announced in 2023 under Rishi Sunak and repeated by Treasury minister Lucy Rigby under the current Labour government. Coinbase’s European policy chief Katie Harries says a country cannot invite innovators in while letting banks lock consumers out, warning this will slow growth in the sector.

Which UK Banks Received the Most Crypto Complaints

Lloyds Banking Group, which includes Halifax and Bank of Scotland, drew the most complaints with 2,297, or 23% of the total. Barclays followed with 1,569 and NatWest Group with 1,278. The group admits the numbers are not a representative survey, since people chose to use its online tool and the data is not adjusted for each bank’s share of current accounts. Higher totals therefore do not necessarily mean higher complaint rates. Harries also cited research from the UK Cryptoasset Business Council showing that 40% of attempted transfers to FCA registered exchanges were blocked or delayed over the past year, and that 70% of exchanges say banking conditions have turned more hostile.

Gap Between Published Bank Crypto Policies and Customer Experience

The report found a disconnect between what banks say and what customers face. Lloyds had no published policy limiting crypto transfers as of August 28, yet it topped the complaint list. Revolut allows crypto purchases in its app but still received complaints. Barclays caps crypto transfers at 2,500 pounds per transaction and 10,000 pounds over 30 days, and NatWest and Santander also state limits. Chase, Starling, TSB, Metro Bank and Virgin Money were listed as banning crypto transactions entirely. Banks with published limits made up 61% of complaints, those without published rules 28%, and banks with outright bans just under 10%.

Stand With Crypto Calls for Clearer Rules and Case by Case Checks

Banks have valid reasons to watch for fraud, scams and money laundering. Stand With Crypto argues, though, that blanket restrictions go beyond proportionate risk management and clash with the idea that financial crime checks should assess individual customers. It wants banks to publish clear explanations of their limits and give customers real ways to challenge blocked transfers. Harries agrees, saying banks should judge each case on its merits rather than choke off an entire industry.