Consultation outcome – The digital pound: A new form of money for households and businesses?

HM Treasury and the Bank of England have published their response to the digital pound consultation. This document summarises the feedback received in response to the consultation, and details how this will influence the next phase of work.

The feedback received from respondents from a range of industries and organisations was largely supportive of the proposed design set out in the Consultation Paper, while other respondents raised concerns about the implications of a digital pound for access to cash, users’ privacy, and control of their money.

To address these concerns, the publication confirmed that primary legislation would be introduced before the launch of any digital pound. Any such legislation would guarantee users’ privacy and that neither the Bank of England, nor Government, would be able to control how a digital pound would be used. There will also be a further public consultation on the digital pound prior to the introduction of primary legislation. These commitments would give both Parliament and the public a chance to have their say.

In addition, the Government and the Bank of England have made clear their commitment to maintain access to cash for those who want to use it, even if a digital pound were implemented.

Bank of England and HM Treasury respond to digital pound consultation press notice.