The United Kingdom risks losing Web3 and gaming talent to overseas jurisdictions unless it delivers a clearer and more enabling regulatory framework, Lord Holmes said at a House of Lords roundtable on decentralized digital economies and UK growth. Holmes warned that regulatory inertia could undermine the country’s ambitions to become a global technology hub. He called for moving faster to establish the “right regulatory landscape” so Web3 innovators continue to build in the UK, particularly in gaming, which he described as a major growth opportunity for the economy.
Holmes emphasized that the UK operates in a globally competitive environment and cautioned that unclear regulation could push talent elsewhere. He framed gaming as a key pillar of future economic growth, arguing that Web3-enabled gaming could drive job creation, skills development and broader participation in the digital economy. “We have a huge opportunity with gaming to make it an expanding part of our economy,” he said, adding that people can be empowered, can learn, are engaged and can be part of numerous companies while earning as they play.
Holmes warned that failure to act would carry direct economic costs, saying, “The flip side is if we don’t get involved people disappear and a huge part of the economy is left behind.” The comments come as the UK prepares to finalize a draft regulatory framework for crypto assets by early next year, with Prime Minister Keir Starmer aiming to position the country as an AI and technology “superpower.” Holmes argued that ambitions for innovation must be backed by enabling legislation, rejecting the notion that regulation and innovation are mutually exclusive. He added that “the right sized regulation is good for all of us” and that well-thought-through, principles-based regulation “does exactly what it says it should do and no more.”
Leave a Reply