With nearly half the British public now dabbling in digital assets, cryptocurrency is no longer a niche interest, it’s becoming a mainstream payment method. A new survey by experts at Crypto Casinos reveals that 48% of UK adults now own a crypto wallet, with 15% of those aged 55 and over having entered the digital finance space.
This shift in public behaviour is starting to ripple across industries — and the UK retail and regulatory landscape is responding.
While widespread acceptance of cryptocurrencies among UK high street retailers remains limited, certain businesses have taken pioneering steps:
- CeX: The electronics retailer accepts Bitcoin both online and in its physical stores across the UK.
Lush Cosmetics: Known for its handmade products, Lush has integrated Bitcoin payments through a partnership with BitPay. - Lomond School: In a notable development, Lomond School in Scotland became the first UK educational institution to accept Bitcoin for tuition fees, aiming to accommodate international families and mitigate currency risks.
Additionally, consumers can indirectly use cryptocurrencies at major retailers by purchasing gift cards through platforms like BitPay and CoinGate. Participating retailers include Argos, ASDA, Costa Coffee, and Tesco.
HMRC’s Stance on Crypto Taxation
His Majesty’s Revenue and Customs (HMRC) has established clear guidelines on the taxation of crypto assets:
- Capital Gains Tax (CGT): Profits from selling cryptocurrencies are subject to CGT. For the 2024–2025 tax year, the tax-free allowance has been reduced to £3,000. Gains above this threshold are taxed at rates of 10% for basic rate taxpayers and 20% for higher rate taxpayers.
- Income Tax: Earnings from activities such as mining, staking, or receiving crypto as payment are considered income and taxed accordingly, with rates ranging from 0% to 45% depending on the individual’s tax band.
HMRC has intensified efforts to ensure compliance, including sending “nudge” letters to individuals suspected of underreporting crypto gains.
The Financial Conduct Authority (FCA) is progressing towards a more structured regulatory framework for digital assets. Plans include implementing rules on capital requirements, insider trading, and market abuse for crypto firms, with full implementation expected by 2026.
Concurrently, the Bank of England is exploring the introduction of a central bank digital currency, the “digital pound,” with a decision anticipated around 2025.
