Industry advocates in the country worried previous finance minister Rishi Sunak's crypto plans wouldn't pan out, especially after his recent defeat in the race for prime minister.
A proposed bill could give U.K. regulators new powers over payments-focused crypto assets like stablecoins, but details on how the rules might be interpreted by financial watchdogs are pending.
Parliament's Treasury Committee is requesting evidence on matters such as the possibility of digital currencies replacing fiat money and the effect of crypto on social inclusion.
"While a CBDC may provide some advantages, it could present significant challenges for financial stability and the protection of privacy," the committee said.