The Minister of State, Foreign, Commonwealth and Development Office (Anne-Marie Trevelyan)
I am grateful to my hon. Friend the Member for Harwich and North Essex (Sir Bernard Jenkin) and the Backbench Business Committee for securing the debate. I also thank all Members for their insightful contributions and questions and all contributors to the Foreign Affairs Committee’s inquiry. I understand that the Committee’s members are travelling and therefore not able to be with us today. My hon. Friend the Minister for Europe would have been delighted to take part in the debate, as it is his brief, but he is unavailable. It is my pleasure to respond on behalf of the Government.
When Putin launched this awful, illegal war, he gambled that our resolve would falter, but he was wrong then, and he is wrong now. Russia’s military is failing on the battlefield, with the counter-offensive making increasing progress—Ukraine has gained more ground in the last month than Russia has in the last year. Russia’s economy is failing at home, as we tighten the stranglehold of sanctions. The image of the NATO leaders standing shoulder to shoulder with President Zelensky in Vilnius yesterday sent a powerful message to the world: we will stand with Ukraine for as long as it takes.
When the Prime Minister met President Zelensky at NATO yesterday, he paid tribute to the courage and bravery of Ukraine’s armed forces on the frontlines, and they discussed the increasing progress of the counter-offensive. The Prime Minster outlined a new package of UK support for Ukraine, including thousands of additional rounds of Challenger 2 ammunition, more than 70 combat and logistics vehicles and a £50 million support package for equipment repair, as well as the establishment of a new military rehabilitation centre.
I am incredibly proud of the UK’s role at the forefront of international support for Ukraine. In this debate and in the Prime Minister’s statement earlier today, Members have reflected the extraordinary sense of purpose we have as UK citizens in support of the Ukrainians and their incredible bravery. Our military, humanitarian and economic support to Ukraine so far amounts to over £9.3 billion. We gave £2.3 billion in military aid last year, second only to the United States, and we will match that this year. The UK was the first country in the world to train Ukrainian troops, the first in Europe to provide lethal weapons, the first to commit tanks and the first to provide long-range missiles, and we are at the forefront of a coalition to train and equip the Ukrainian air force.
Our humanitarian assistance, delivered through the Government of Ukraine, the UN, non-governmental organisations and the International Committee of the Red Cross, is saving lives and helping to protect the most vulnerable, including women and children, the elderly and those with disabilities. The UK has committed £347 million of humanitarian assistance since February 2022, and we have helped to reach over 15.8 million people in need during this crisis. Our economic support includes over £1.7 billion in fiscal support to Ukraine, including approximately £1.65 billion in guarantees for World Bank and European Bank for Reconstruction and Development lending and £74 million in direct budgetary assistance.
The international community is united in supporting Ukraine, and our diplomatic response has been broad and comprehensive. We continue to work to strengthen NATO. It is in everyone’s interest for Sweden to join; its accession makes us all safer. Ukraine’s future place is in NATO, and it has already taken steps toward membership.
Dominic Raab (Esher and Walton) (Con)
The Government have done an excellent job and shown real leadership on Ukraine. My right hon. Friend mentioned Sweden joining NATO. As important as that is, given its assets—submarines and fighter pilots—it is also telling that the UK and others have persuaded Turkey to remove its veto, coaxing it back into the fold. The truth is that to outlast Putin, we do not just need to rely on the support we already have; we have to grow it, and that was a good example of a big win for UK diplomacy and the wider NATO alliance.
Anne-Marie Trevelyan
My right hon. Friend is absolutely right. His efforts over a number of years while serving in the Government have helped to build that coalition of support and that confidence to enable Sweden to get to this point. Indeed, Finland is now a member of NATO.
Ukraine’s future place will also be in NATO, and the steps towards membership are now taking place. When allies agree and conditions are met, we will be in a position to extend a formal invitation to Ukraine. As the hon. Member for Hornsey and Wood Green (Catherine West) pointed out, and as the Prime Minister highlighted today—we can read the full detail in the Vilnius communiqué —the requirement for a membership action plan, for instance, has been dispensed with, which can speed up the process.
Members raised the question of Georgia’s potential accession to NATO. The UK supports Georgia joining NATO, as agreed at the Bucharest summit in 2008. We are taking steps with allies to develop the capabilities of Georgia and to prepare it for membership through a comprehensive support package, in concert with other NATO allies.
I turn to the issue of sanctions and to the Foreign Affairs Committee’s report on illicit finance. I thank all contributors to the Committee’s report, which is very thorough. We have co-ordinated sanctions with our international allies to impose a serious cost on Putin for his imperial ambitions. More than 60% of Putin’s war chest of foreign reserves has been immobilised, worth £275 billion. Our own sanctions package is the largest and most severe we have ever imposed on a major economy, and it is undermining Russia’s war effort.
Following her question about the cocktail of crypto- currencies, I can confirm to the hon. Member for Hornsey and Wood Green that we are actively monitoring the use of cryptoassets to detect potential instances of sanctions evasion. The use of cryptoassets to circumvent economic sanctions is a criminal offence under the Sanctions and Anti-Money Laundering Act 2018. As she pointed out, they are complex instruments, and the teams work hard on that. That is already under close review.
Reacting quickly to the invasion of Ukraine, we enacted the Economic Crime (Transparency and Enforcement) Act 2022, sanctioning over 1,600 individuals and entities and freezing £18 billion of Russian assets. We will continue to bear down on kleptocrats, criminals and terrorists who abuse our open economy through our new Economic Crime and Corporate Transparency Bill, and we will ensure that dirty money has nowhere to hide at home or overseas.
Sir Iain Duncan Smith
I am grateful to my right hon. Friend for her comments, but I want to test this further. Are the Government reviewing carefully whether those frozen assets could be seized and used for reparations, or do they consider that that is not feasible and therefore are not doing anything about it?
Anne-Marie Trevelyan
If my right hon. Friend will give me a moment, I shall attempt to answer that question in due course.
Liam Byrne
I am grateful to the Minister for giving way; she is being characteristically generous. Could she tell the House whether that bearing down on economic criminals will include Government acceptance of the excellent amendments tabled by Lord Agnew in the other place, which have widespread support in this House?
Anne-Marie Trevelyan
The right hon. Member will know that I am unable to answer that at this point—it is a question for the Leader of the House—but I have no doubt that it has been heard and that the cross-party support for that measure has been duly noted.
We are working closely with our international partners to address the impact of Russia’s war on global food prices and food security for the world’s poorest. That includes working to keep exports of Ukrainian grain flowing through the UN Black sea grain initiative, which has helped more than 32 million tonnes of grain and other foodstuffs to reach countries around the world.
To respond to the point that my right hon. Friend the Member for Esher and Walton (Dominic Raab) made about Turkey’s commitment—that country’s assistance in keeping that grain initiative flowing despite the continued challenges—we should all commend its efforts, quietly and behind the scenes, to make sure that those flows of food can continue. Its commitment has been exemplary.
Russia continues to delay and obstruct inspections of ships, but food cannot be a weapon. It is reprehensible that Russia is threatening not to extend the deal, which would increase food prices for the world’s poorest, so the UK is supporting Turkey and the UN in their very focused efforts to ensure that the initiative can continue unimpeded, and to renew the grain deal beyond 17 July. Just yesterday, the UN Secretary-General sent a further proposal to Russia to address concerns over the export of Russian food and fertiliser. The UN offer on the table will give stability to both the Black sea grain initiative and Russian agricultural exports, helping to provide easier access to food across the world.
Sir Iain Duncan Smith
Forgive me—my right hon. Friend is being generous with her time. It suddenly struck me that a year ago, when the blockade was on and Ukraine could not get the grain out, there was serious discussion, even at NATO level, that in response it might be feasible—and that this could be made known to Putin—that if Russia failed to allow that grain to go through peacefully, it could be convoyed through by members of NATO, but not as a NATO exercise. Are the Government keeping that possibility open? It might be a good idea to let Putin know that it may well be possible to convoy those ships from Odessa through to the wider world.
Anne-Marie Trevelyan
I thank my right hon. Friend for his intervention. Turkey, in particular, is making incredible efforts and has continuing negotiations and conversations as a close neighbour and the guardian of the Dardanelles—that critical piece of water through which all these ships have to pass. It is clearly managing that situation, and we continue to support Turkey’s efforts to find ongoing solutions. My right hon. Friend the Foreign Secretary will be chairing a session of the UN Security Council next week to discuss exactly these issues—the impacts of the war, both in Ukraine and across the world.
Turning to an issue that colleagues are rightly focused on, we are of course looking to the future while dealing with the present-day challenges of supporting the Ukrainians as they prosecute the war. We are supporting the office of Ukraine’s prosecutor general to help it investigate and prosecute alleged war crimes. The UK provided £2.5 million of funding to support Ukraine’s domestic investigations and prosecutions in 2022, and we intend to provide similar levels of funding this year. We welcome the steps taken by the independent International Criminal Court to hold those at the top of the Russian regime to account, including Vladimir Putin. We have provided an additional £2 million to the ICC for evidence collection and support for victims and witnesses, and in May, along with 40 other states, we signed an agreement to create a new international register of damage caused by Russian aggression against Ukraine. That is an important step in the pursuit of justice for the Ukrainian people.
Just a few weeks ago, in June, we co-hosted with our Ukrainian friends the 2023 Ukraine recovery conference here in London. That conference raised over $60 billion, including a new €50 billion EU facility and $3 billion in UK guarantees to World Bank lending. Almost 500 companies from 42 countries, worth more than $5.2 trillion, pledged to back Ukraine’s reconstruction through the Ukraine business compact. The conference also agreed to forge a new G7+ clean energy partnership to help Ukraine rebuild a net zero energy system connected to Europe.
Members rightly want to see continued sanctions, asset freezes and travel bans during this very difficult time. Just last week, I was proud to bring in new legislation that will enable sanctions to be maintained until Moscow pays compensation for the reconstruction of Ukraine and a route is developed for Ukrainian reconstruction. We will, of course, also be creating a route to allow individuals to voluntarily hand over those assets of theirs that are presently frozen into a fund to support reconstruction. That will be a one-way ticket: if those people feel that they have realised the error of their ways, it will be an opportunity for them to support Ukraine’s reconstruction.
Liam Byrne
I am grateful to the Minister, because I do not think the House had had a chance to cross-examine her on that point. Is she saying that sanctions will remain in place until Russia has stumped up the full bill for reconstruction, and if so, what are the expectations of the amount that Russia will need to pay in order to get those sanctions lifted?
Anne-Marie Trevelyan
The right hon. Member asks an important question. Sadly, that figure grows day by day—I think the latest assessments are that something like $400 billion is expected for the reconstruction, but as the war goes on, that figure is likely to grow as more infrastructure is damaged. Greater reparations would be required to help Ukraine get back on her feet completely, but the new legislation will enable existing sanctions to stay in place until agreements on that compensation payment are reached. Discussions about what that might look like will continue in due course.
Sir Iain Duncan Smith
Again, I apologise for breaking the Minister’s train of thought, but can I take her back to a comment I made earlier? It is believed categorically, whatever else we do about the seizure of assets, that it is wholly feasible for the alliance, or each country in turn, to agree to say to Russia, whenever we end hostilities, that what is owed by Russia is x amount, that we have frozen x plus whatever amount, and that we will hold that amount frozen until Russia delivers what is required of it in reparations for the rebuilding and reconstitution of Ukraine. Failing any assistance on that, we will seize those assets as a result of its failure to pay what is agreed to be the reparation bill. That is completely feasible within international law and does not require any great change. Is the Foreign Office seriously thinking about that as a very clear position at this stage?
Anne-Marie Trevelyan
My right hon. Friend raises such an important point. Of course, discussions with international partners will continue, to ensure that when we reach such a point—we must first help the Ukrainians to win and end this terrible war—those solutions can be put in place and, indeed, whatever the figure is can be reached. However, by bringing through the legislation last week, we have enabled one further step in ensuring that we stop any of the funds that are presently sanctioned from being released.
Importantly, on enforcement, which was raised by a number of colleagues, we have committed £50 million, following through from the integrated review refresh, to improve the enforcement of the sanctions regime. That will help us work with key partners to build both the capacity and capability to ensure that we can and do enforce the sanctions that are in place. The new G7 enforcement co-ordination mechanism, which was announced at the G7 summit just a few weeks ago, will enable the international community to tackle sanctions enforcement more effectively together.
In conclusion, I know that this House will join me in calling on Putin to withdraw Russian forces from Ukrainian territory and end this barbaric war.
Ronnie Cowan
I have a small point to make, just before the Minister brings the debate to a conclusion. I fully understand why we are looking at ending the war in Ukraine, freeing it from the yoke of Russia and helping it rebuild itself, but can she please assure me about this? In a global perspective, the same figures we are talking about here could be used to fund the UK’s diplomatic service, foreign embassies and trade deals, which all help us maintain peace globally, but no matter how much money we throw at that, it is a pittance compared with the cost of war, with both the financial and humanitarian costs.
Anne-Marie Trevelyan
As the hon. Member rightly says, our focus must be on providing in every way we can, with our international allies, all the tools needed to support the Ukrainians in their incredibly brave battle to win this war. In doing that, we will be able to support them to return to peaceful day-to-day life, so that their young people can see an exciting future as free Ukrainians once again.
Importantly—and we always hope Mr Putin is listening to understand just how seriously we see this—when he launched this war he genuinely gambled that our resolve would somehow falter, but he was wrong then and he is wrong now. For instance, my right hon. Friend the Member for Chingford and Woodford Green (Sir Iain Duncan Smith) mentioned the wonderful young people who support the incredible positive work of Siobhan’s Trust, with the simplicity of saying, “We will bring you a pizza while you are on the frontline, just to give you the moral support to keep you going while doing that hardest of jobs in defending your families and your territory.” The positivity from our young people and so many others from across the world going into supporting Ukrainians makes it as clear as it can be that we will all stand alongside those incredibly brave Ukrainians until such time as they win. We will not waver because they will not waver. Their bravery is absolutely extraordinary. NATO is not to be divided. We will not tire, and we will continue until justice is seen for Ukraine.
Mr Deputy Speaker (Mr Nigel Evans)
With the last two minutes to wind up, I call Sir Bernard Jenkin.