City of London Corporation Policy Chairman Chris Hayward has issued a stark warning that the government needs to accelerate digital markets reform or risk the UK falling behind in the global race for digital finance.
Speaking ahead of a keynote address by City Minister Lucy Rigby, Hayward stressed that the shift toward digital and tokenised markets is already up and running and the UK must not face having to play catch-up.
“A digital big bang is underway,” Hayward said. “Wholesale digital trade in equities, FX, gilts and bonds is the future. We either lead it, or we lose it. If we do not build the infrastructure, we will not host the transactions.”
He warned that major financial centres including New York and Singapore are moving quickly to establish tokenised market infrastructure, creating competitive pressure on the UK to act decisively.
“This is, unequivocally, a race – and a race we must win,” he said, calling for a clear vision and implementation plan from government to support digital assets and modernise wholesale markets.
Hayward urged ministers to prioritise digital reform in the coming months, suggesting that a roadmap should be in place by this year’s Mansion House speech in July. Without swift action, he cautioned, the UK risks losing its long-standing advantage as a global financial hub.
“To be competitive tomorrow, we must act fast on digital assets,” he said. “To preserve our edge in this new world, we need a clear vision and implementation plan from government.”
On a related note, he stressed the need for the UK to be more confident in promoting itself as a world-class destination for innovation, investment and growth for global investors.
“This age of self-deprecation must end,” Hayward said. “The Americans, the Australians, the Canadians, the Gulf States – everyone else invests in the UK, while proudly talking up their own countries. We must do the same.”
