Britain is about to unlock Russia’s dirty money – here’s how it could be used

3 comments

1. The UK is “exploring every possible” way to legally spend Russian assets frozen in British bank accounts to support [Ukraine](https://inews.co.uk/topic/ukraine?srsltid=AfmBOopLNLkFY07yrVGogAP-rxkuWLXkXTPNZrqAgX-tZNNHjUCFRNRT&ico=in-line_link), the sanctions minister has told *The i Paper*, in a move that would break nearly four years of deadlock over fears of undermining the entire legal framework.

   The Government has frozen around [£25bn of Russian assets](https://www.gov.uk/government/news/uk-sanctions-freeze-25bn-of-russian-assets) held in British bank accounts in retaliation for the [country’s invasion of Ukraine](https://inews.co.uk/topic/russia-ukraine-war?srsltid=AfmBOorlMcEMbSLlPBYaWVoUofMls5i-3qPZ0rti6aTndvffZWuu7AQx&ico=in-line_link), while following action taken by the G7 over €260bn (£228bn) is believed to have been immobilised worldwide – the majority in Belgium. Britain and allies have used the interest and the profits accrued on them to fund support to Kyiv. Last year the income from interest came to €6.9bn (£6bn).

   However, since the 2022 invasion, there have been calls for the assets themselves to be spent on supporting Ukraine. Some legal experts fear such a move could undermine legal structures, discourage investment and trigger retaliation from Russian President [Vladimir Putin](https://inews.co.uk/topic/vladimir-putin?srsltid=AfmBOor1E9zKX-UvXo8hlj2IVfC-ljmF1alnG5eH9mnSywNMd_yotXbu&ico=in-line_link), including in the courts, through counter-sanctions or military escalation.

   The UK has so far [committed £21.8bn for Ukraine](https://www.gov.uk/government/publications/uk-support-to-ukraine-factsheet/uk-support-to-ukraine-factsheet), including £13bn in military support, meaning the unfreezing of its frozen Russian assets would more than double its contribution with little further cost to the taxpayer.

   Prime Minister Sir Keir Starmer said last month that the [UK, alongside France and Germany, was “ready to progress” to using the full value of frozen Russian assets](https://www.bbc.co.uk/news/articles/c62np269qv9o) to support Ukraine to “increase pressure” on Russia and bring it to the negotiating table.

   Sanctions minister Stephen Doughty told *The i Paper* that the UK held a clear position that “Russia must pay for the needless devastation it has caused in Ukraine.”

   Doughty said the UK was “working hard with its allies to explore every possible lawful avenue to unlock billions in frozen Russian sovereign assets so we can support Ukraine’s armed forces right now”.

   “We’ve already provided over £2bn [for a loan] to Ukraine backed by these assets, but we must go further,” he added. “As long as Putin continues his war of aggression, and in lockstep with the EU and G7, we will continue to choke off the flows into Putin’s war chest that fuel this illegal and barbarous war.”

2. Well previously the Russian dirty money was spent on cuckolds like Nigel Farrage

3. Great news, this will accelerate the demise of western led world order and officially usher in the dawn of the multipolar world.

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