The Bank of England (BoE) is creating a ‘Digital Pound Lab’ to enable ‘hands-on experimentation’ as part of its ongoing preparation for a potential UK central bank digital currency (CBDC).
The central bank and HM Treasury (HMT) are currently in a ‘design phase’ for a potential digital pound during which they aim to establish a ‘clear proposition’ for a CBDC. It would only be introduced with Parliament’s approval and would need primary legislation.
Plans for the Digital Pound Lab are contained in a ‘Progress update: The digital pound and the payments landscape’ – published today (14 January) – that summaries work over the past year.
