Former U.K. Chancellor Philip Hammond is facing scrutiny over his involvement with the crypto startup Copper following his exit from office.
Lord Philip Hammond’s interactions with U.K. Treasury officials regarding Copper, a crypto startup, have come under scrutiny less than two years after he left his post. This has raised questions about potential lobbying activities during the period when ex-ministers are typically restricted from such engagements, according to Treasury documents cited by the Financial Times.
Documents reveal that civil servants met with Copper CEO Dmitry Tokarev through Hammond and then-economic secretary John Glen. Hammond officially joined Copper in August 2021 after stepping down from his position in 2019. It appears that Hammond discussed regulatory concerns raised by Copper with Glen.
Internal email letters show that Hammond informed the Treasury minister about “concerns from firms such as Copper” regarding the pace of regulatory change for crypto companies. He also conveyed Tokarev’s feedback on Copper’s meeting with Treasury officials to Glen.
The British Advisory Committee on Business Appointments typically prohibits ex-ministers from lobbying their former departments for two years after leaving office, as outlined in the ministerial code. However, the body may impose shorter periods in some cases.
Both Hammond and Treasury representatives maintain that appropriate transparency procedures were followed.
In a statement to the Financial Times, Hammond emphasized his interest in the U.K. Financial Services sector and fintech’s potential to maintain the country’s role as a global financial hub. He clarified that he did not view his interactions with Glen as lobbying.
Founded in 2018, Copper is a London-based crypto infrastructure provider offering custody, prime brokerage, and settlement services to institutional investors trading cryptocurrencies. According to data from Crunchbase, Copper has raised a total of $281 million in funding from 11 investors, including Barclays Ventures and Tiger Global Management.
