With the leave of the House, I will close this debate. The last three hours have shown us that the House stands united. It has shown us many things, but one of those is that we speak as one in support of Ukraine. Everyone I have heard in this debate, and I have been here almost the whole time, has welcomed these messages. I am grateful to Members who have contributed—there have been insightful and timely discussions—and I will try to address and respond to some of the important questions they have raised.
I emphasise that nothing is off the table. The measures we have taken have already had a hugely significant impact, but we are exploring what more we can do. We are consulting our allies to that end; in this interconnected world, it is crucial that we act as one where we possibly can. I cannot speculate on future designations; that would be inappropriate for many reasons—not least, as many have said, that it might warn individuals whom we would not wish to warn in advance. However, it is thanks to the leadership of the Prime Minister and the Foreign Secretary that we have seen the most significant impacts. I want to address some of these points.
It has been said, for example, that the United Kingdom’s position has not been in tune with that of Europe. On the contrary, our position has been a leading one as far as the European Union response is concerned, but this is not a competition. Many Members have said that more can be done, and I accept that. However, the United Kingdom has placed an asset freeze on VTB, the second largest bank in Russia—an enormous institution—and we have done that along with the United States. The United Kingdom has banned sterling clearing with Sberbank, the largest bank in Russia. The United Kingdom has banned all Russian companies—over 3 million of them—from issuing securities and raising debt. The European Union has done none of those things, but we are focusing on high-impact measures.
It was mentioned that we need to target those listing on the London stock exchange. We have, as I say, prevented 3 million-plus Russian companies from listing on the London stock exchange. As the debate has been going on this very afternoon, I can tell the House that we have designated the Russian Direct Investment Fund and its chief executive officer, Kirill Alexandrovich Dmitriev. That has occurred this afternoon.
One Member—I think it was my hon. Friend the Member for Hitchin and Harpenden (Bim Afolami)—asked about delisting existing securities. Although nothing is off the table, delisting existing securities could harm the investments of people in the United Kingdom without having any impact on those who originally issued them. That is why our measures are forward looking, including to prevent the raising of funds by all Russian companies.
The right hon. Member for Barking (Dame Margaret Hodge) mentioned Companies House, as did a number of other colleagues. As the right hon. Lady may know, the Business Secretary has announced a White Paper on corporate transparency and register reform, greatly increasing the information available. We are legislating for reform of limited partnerships law, new powers to seize crypto-assets, reforms to help businesses share information on money laundering, a register of overseas entities and a requirement for foreign owners to reveal their identities, so work is massively in progress in that regard.
Various colleagues asked about designated persons and their substantial assets. I emphasise that the asset freeze criminalises dealing with the economic resources of a designated person, so were UK nationals and firms to go on to deal with those designated persons, they would be committing a criminal offence, the sanctions for which are considerable.
I was asked about Crown dependencies and overseas territories. I understand that designations made under the regulations will apply automatically in the Crown dependencies. There may be a small lag in terms of the overseas territories, but I am happy to write to Members about that. We will check that position, but we are speaking as one, as are so many allies around the world. The Government agree that more enforcement resource is necessary. One or two colleagues mentioned that from the Labour Front Bench, and the point is accepted. That is why the Prime Minister announced a new National Crime Agency kleptocracy cell, targeting sanctions evasion. We are also introducing the Economic Crime (Transparency and Enforcement) Bill today to reform unexplained wealth orders, removing key barriers to their use by the NCA.
I was asked about a shipping matter by my colleague on the Opposition Front Bench, the hon. Member for Cardiff South and Penarth (Stephen Doughty). UK Government Ministers have now signed legislation banning all ships that are Russian owned, operated, controlled, chartered, registered or flagged from entering British ports. That was effective from 3 pm this afternoon.
The position as far as the Donbas is concerned is that the Foreign Secretary has been clear that we will put these measures in place and extend measures applying to the Crimea, Donetsk and Luhansk regions. On insurance, it will be prohibited to provide insurance or reinsurance to or for the benefit of designated persons in relation to controlled goods and technology.
On guidance, we have already issued statutory guidance, and the Office of Financial Sanctions Implementation will be issuing further Russia guidance in due course. As to further banks, the Foreign Secretary has set out her
intention to apply an asset freeze to all Russian banks, and I mention the wind-down period of 30 days, which a couple of colleagues also mentioned. The wind-down on certain measures is to allow UK businesses to close their affairs in an orderly fashion. I understand that the same process is taking place under the United States regulations and the European Union regulations. We are all acting as one here. It does not enable designated persons to move money. A request was made about a ban on state debt, which it was said applies in the European Union but not in the United Kingdom. That ban is in the regulations, which are in force now.
As far as the general position is concerned, the House will know that there has been a movement around the world to act in support of Ukraine. That is being led by this Government. It is being led in the field of lethal aid and financial aid, and it was led in the field of aviation sanctions and in the field of sanctions generally. As I mentioned in my opening speech, Her Majesty’s Government are determined to continue to work in close co-ordination with our allies to deal a devastating blow to the Putin regime and undermine its ability—his ability—to wage war in Ukraine. This House’s support for these regulations sends a clear, indefatigable message to the Kremlin and the people of Ukraine. I commend these regulations to the House.
Question put and agreed to.
Resolved,
That the Russia (Sanctions) (EU Exit) (Amendment) (No. 2) Regulations 2022 (SI, 2022, No. 194), dated 28 February 2022, a copy of which was laid before this House on 28 February, be approved.