WASHINGTON, Feb 5 (Reuters) - Big U.S. banks' lobbying spend jumped 12% last year, the most in more than a decade, as they intensified efforts to navigate major policy flux in Washington under President Donald Trump's administration, according to a Reuters analysis of disclosure data and industry lobbyists.
The power of the crypto lobby and its policy gains have become a source of alarm and frustration for many banks, according to four other industry sources, two of whom said some in the industry want to take a more aggressive stance.
Among banks with at least $50 billion in assets, 38 reported lobbying last year. Those lenders, along with seven of their top trade groups, spent $86.8 million on lobbying the White House, federal agencies and lawmakers, according to a Reuters analysis of data provided by the non-partisan organization OpenSecrets, which tracks money in politics.
The 12% jump in 2025 was the largest since 2011 when the banking industry was scrambling to shape a slew of major new rules following the 2008 financial crash.
Trump's bank regulators are working on a sweeping overhaul of those capital rules, and potentially transformative fintech and crypto policy changes, while Congress is considering landmark digital asset legislation, all of which promise the industry big wins but also potential losses.
"Because we are in such an active environment, you want to make sure you are fully at the table," said Ed Mills, a policy analyst at Raymond James. "There's a view that much of what DC is doing is positive for the banks, but you still want to shape that agenda."
Trump himself has also proved a wildcard. Last year, he accused banks of politicized debanking, and more recently has pushed populist policies aimed at addressing cost-of-living concerns ahead of congressional elections this year, including a credit card interest rate cap, prompting some banks to push back. The disclosures show big banks hired several lobbyists with close ties to the President and the White House.
"The need to safeguard yourself to make sure that you're not being caught by surprise is really where their expenditures go," said James Ballentine, a former top lobbyist for the American Bankers Association who now runs a government relations firm for finance clients.
One Washington lobbyist, who asked for anonymity to discuss sensitive policy issues, said the rise of affordability politics, in particular, had been a shock to banks.
Ballentine also cited a bill limiting credit card swipe fees, and tumult at the consumer finance watchdog as causes for increased vigilance by banks, as well as competition from crypto companies.
"It's extremely important for the industry to guard itself from competition they see coming from other financial players, crypto being the largest one," he added.
Crypto companies spent heavily to install industry-friendly lawmakers in the 2024 elections -- an effort that led to stablecoin legislation last year, and a bill that would give crypto companies more regulatory clarity. Both present threats to banks.
The digital asset sector's lobbying spend surged 66% in 2025 to $40.6 million, but remains well below the more established banking industry's spend, according to OpenSecrets.
To be sure, banks are by no means Washington's biggest lobbyists, being routinely outspent by industries such as defense, telecommunications and insurance. Trump's return to office last year also sparked a general boom in government relations across industries, according to OpenSecrets.
In response to a query about industry efforts to shape policy, the White House said the Trump administration would not create "undue handouts or carveouts."
"The only special interest guiding President Trump's decision-making is the best interest of the American people," said White House spokesman Kush Desai.
WHITE HOUSE WHISPERERS
A Washington lobbyist who represents financial sector clients said banks were eager to leverage political and personal White House connections.
In 2025, Bank of America hired Bryan Lanza, a former communications director for Trump's presidential transition, Morgan Stanley hired Trump fundraiser Jeffrey Miller, and JPMorgan retained Ballard Partners, where White House Chief of Staff Susie Wiles previously worked.
"Whenever the White House switches parties, sophisticated stakeholders across all sectors ... realign their advocacy teams to ensure they can effectively communicate with a new set of policymakers," said Justin Sayfie, a partner at Ballard.
Bank of America, JPMorgan and Morgan Stanley declined to comment. Representatives for Lanza and Miller did not respond.
Bank lobbying expenditures rose most in the fourth quarter and, in a break with prior trends in which the industry's mid-tier large banks led a jump in lobbying activity, were in large part driven by the industry's so-called Big Eight Wall Street giants.
State Street posted the largest fourth quarter year-on-year jump at 427%, followed by Goldman Sachs at 134%, BNY at 56%, and Morgan Stanley at 41%.
While it was not immediately clear why the uptick was so pronounced from October to December, regulators started to ramp up their efforts during the period, and the landmark crypto bill began to advance.
A spokesperson for Goldman said the bank's fourth quarter lobbying costs had jumped due to a small business summit it hosted in Washington. State Street did not respond to a request for comment.
(Reporting by Douglas Gillison in Washington; Editing by Michelle Price and Nick Zieminski)
