As a UK citizen I am not too worried as I do not believe that our government even has an understanding of cryptocurrency. In general in the UK people are highly uninformed on the matter as it is and our retraction from the EU will lead to us needing to find other means of accessing the global market. GBP doesn't currently cope well with this matter so I hope to see cryptocurrency adoption rise in the UK. This may not be the case though. Time will tell.
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It's worrying to say the least hjbcrypto. Our country unlike the US and japan are lacking in developmental blockchain infrastructure, and with a actionless and uninformed government presiding its legislation will undoubtedly suffer economically as a result.
Ideally we will see special advisers brought on and not people from the financial sector. I would love to see our government be the first major one to fully accept the idea o crypto, alas, I think you are right that the outlook is not good.