(Bloomberg) — The UK will step up work on designing a digital version of the pound, saying the measures may be necessary to keep up with technology in the way people use money in the coming years.

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The Treasury and Bank of England said further study of a so-called Central Bank Digital Currency, or CBDC, is needed before a final decision can be made whether to launch what has been dubbed “Britcoin.”

They sought to allay concerns privacy and security concerns after a backlash from the public partly fueled by conspiracy theory groups. The move suggests British authorities want to maintain some government control over the way money is used as consumers step away from using cash in day-to-day transactions, favoring card-based and mobile payments instead.

“We are at an exciting time of innovation in money and payments, and we want to ensure the UK is ready should a decision to build a digital pound be taken in the future,” said Bim Afolami, economic secretary to the Treasury. “We will always ensure people’s privacy is paramount in any design, and any rollout would be alongside, not instead of, traditional cash.”

The Treasury and BOE’s announcement was in response to a consultation on the design of a digital pound it held last year, which received more than 50,000 responses, a record amount.

The BOE said the design work will be “exploring its feasibility and potential design choices. Following the design stage, the BOE and government will “whether or not to build a digital pound, and, if proceeding, would set out a timetable for further consultation on legislation and a potential launch.”

They confirmed that primary legislation would be introduced if a digital pound were to be implemented. There would be a further consultation before that legislation is considered by Parliament.

Work on developing a potential CBDC has been met with skepticism by UK lawmakers and stoked concern from the public.

The Treasury Committee, a cross-party group in Parliament, warned last month that it is still unclear whether the benefits from a CBDC will outweigh the risks. There are fears that a shift to CBDCs could fuel bank runs if consumers used a digital pound as a safe haven in times of crisis. Conspiracy theory group have latched onto privacy concerns despite BOE Governor Andrew Bailey insisting last year that this is “absolutely at odds with what we should do.”

The BOE and government acknowledged the privacy concerns, stressing that it would not “have access to users’ personal data.”

“This response makes clear that legislation introduced by the Government for a digital pound would need to provide protections to guarantee users’ privacy and control of their money,” the response to the consultation said.

Cash is currently the only form of money issued by the state that’s available to consumers, and the BOE wants to ensure Britons have access to a form of “public money” with the explicit backing of the government. Money deposited in banks essentially represents a promise from a private company to deliver pounds.

The BOE has said it needs to issue digital forms of money that work in online transactions to give people an alternatives to what it dubs private money.

“We know the decision on whether or not to introduce a digital pound in the UK will be a major one for the future of money,” said BOE Deputy Governor Sarah Breeden. “It is essential that we build that trust and have the support of the public and businesses who would be using it if introduced.”

–With assistance from Andrew Atkinson.

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