Ukraine Hub

UK’s economic sanctions regime against Russia continues to evolve

The UK has continued to issue sanctions and trading restrictions on Russia. UK import restrictions now apply to over £13.5 billion worth of Russian exports, bringing the proportion of goods imports from Russia covered by sanctions to more than 96 percent. Recent sanctions against Russian-origin gold have been in alignment with G7 partners, however, the UK government has demonstrated that it is likely to continue developing sanctions unilaterally as well.

Some useful resources*

• OFSI e-alerts and consolidated list for financial sanctions
• Guidance for trading under sanctions with Russia 
• UK Sanctions Relating to Russia
• Russian Sanctions: Guidance
• Financial Guidance: Russia
• Guidance on how to assess if your goods are dual-use.

*These links refer to 2019 and the latest 2022 financial sanctions relating to Russia.

Companies doing business with countries subject to sanctions must accept the risks of doing so, just as they accept other political and market risks. The government suggest you take legal advice if you suspect your business could be impacted.

For more

• You can stay up to date with the latest government notifications on export controls by signing up to the Export Control Joint Unit (ECJU) e-alert service
• Watch the Institute for Export's webinar on How to comply with trade sanctions against Russia.

HMG webinar

HMG officials hosted a webinar for businesses. The webinar covered the scope of sanctions, scope and application of trade sanctions; financial sanctions: restrictions and general licenses; the Export Support Service and enforcement of trade sanctions. You can catch up on the government's 'UK sanctions in relation to Russia' briefing, here. 

Check out this analysis from the CBI's Economics team on how the conflict in Ukraine is set to push UK inflation higher.

Russia’s invasion has materially altered the near-term outlook for the UK and global economies, with increased uncertainty over the path ahead.

Read the early analysis from CBI experts on the impact in the UK economy.

Members can access the exclusive updated analysis, here.

Both focus on four key areas: 

• Energy (and other commodities)
• Trade
• Finance
• Confidence

The Russian invasion of Ukraine is a further challenge to UK businesses’ supply chains.

To understand how supply chain challenges are playing out across the economy and help shape our messaging into government, members can access our dedicated campaign page here.

We are working with our members to actively support the humanitarian consequences of the Ukrainian crisis. To date we have been coordinating activity between business, trade associations, the Ukrainian Embassy and across UK government departments.

Many businesses have already made significant donations to relevant charities and offered their services to support Ukrainian citizens ranging from the provision of vital supplies such as medicines and foods through to logistics, digital infrastructure and cyber security.

Read the CBI's factsheet on humanitarian aid to Ukraine.

We are appealing to our members and the wider business community to support the humanitarian efforts, so if you would like to donate please do so via Unicef, Redcross, DEC or UNHCR (UN Refugee Agency)

The Ukrainian Embassy in the UK has established this page for those who may wish to donate to direct funds.

Following Russia’s illegal invasion of Ukraine, the UK government has been releasing an evolving sanctions regime.  For the most up to date list of UK sanctions visit GOV.UK ‘UK Sanctions against Russia’.

The CBI is closely monitoring the situation in Ukraine and continues to engage with the Foreign, Commonwealth and Development Office (FCDO) and Department of International Trade (DIT) as well as our European counterparts, on the sanctions being imposed against Russia and its impact on business. 

Further to this engagement, CBI Economics has produced a briefing analysing the impact on the UK economy via four main channels: energy (and other commodities), trade, financial links and confidence. 

The government has advised that businesses make use of the Export Support Service (ESS) for any queries and/or concerns relating to sanctions or trade with Russia. The ESS has been expanded to act as a single point of enquiry for businesses and traders

If you have a question about trading with Ukraine or Russia use the dedicated online service or call 0300 303 8955. This service has been extended to 8am-10pm, seven days a week.

The government has said that it doesn't advise business on what it should and shouldn’t do.

The Business and Human Rights Resource Centre has issued Guidance for business, based on the UNGPs, and International Red Cross (ICRC) advice.

Many large businesses who have Russian interests are considering their next steps, with some taking action already to divest - action the CBI supports. For many others, reacting to this crisis will be complicated in particular by a need for raw materials, integrated supply chains, or franchising arrangements.

Further guidance is available from the Department for International Trade.

These certificates attest the existence of force majeure circumstances. This means circumstances beyond the control of a business such as fire, flood, industrial disputes, pandemic, wars and conflicts etc. that impact your ability to meet the terms of a contract. 

You can apply for a certificate through your local chamber. Find yours here.

It is your responsibility to claim force majeure as per your contract and the Chambers' role is to provide a certificate in support of such claim. Chambers can only certify factual details that can be evidenced. They cannot comment as to whether or not force majeure applies or argue such claims on behalf of the applicant. 

• Businesses are right to be concerned about the safety of their online assets and imminent cyber risks - find support and useful guidelines to manage your cyber security:
  • Check out the latest from Paul Maddison, Director for National Resilience and Strategy at the National Cyber Security Centre, speaking at a CBI @10am webinar
  • Advice for boards on how to manage cyber risk
  • Advice relating to current tensions
  • Advice for SMEs
  • Advice to tackle ransomware.