UK Government plans sanctions against Russian bank following invasion of Ukraine

The UK Government intends to take further economic measures on Russia by targeting the Central Bank of the Russian Federation (CBR).

This potential sanction follows Russia’s recent invasion of Ukraine.

This action is taken in concert with the US and the European Union, to prevent the CBR from deploying its foreign reserves in ways that undermine the impact of sanctions imposed by us and our allies, and to undercut its ability to engage in foreign exchange transactions to support the Russian rouble.

The UK Government stated it will take all necessary steps to bring into effect restrictions to prohibit any UK natural or legal persons from undertaking financial transactions involving the CBR, the Russian National Wealth Fund, and the Ministry of Finance of the Russian Federation.

The UK Government intends to make further related designations this week, working alongside our international partners.

The Chancellor said: “These measures demonstrate our determination to apply severe economic sanctions in response to Russia’s invasion of Ukraine.

“We are announcing this action in rapid coordination with our US and European allies to move in lock step once more with our international partners, to demonstrate our steadfast resolve in imposing the highest costs on Russia and to cut her off from the international financial system so long as this conflict persists.”

The Governor of the Bank of England said: “The Bank of England continues to take any and all actions needed to support the Government’s response to the Russian invasion of Ukraine.

“We welcome the steps taken today by the UK Government, in coordination with EU and US authorities, as an important and powerful demonstration of the UK’s commitment to the international rule of law.