Countering Russian Aggression and Tackling Illicit Finance

Debate between Amanda Milling and Stewart Hosie

Wednesday 23rd February 2022 Commons Chamber

[Amanda Milling]

May I make a little progress? I have been quite generous, to be fair.

The package will include measures to stop the Kremlin’s access to UK financial markets for sovereign debt. That means that the Russian Government will be unable to access UK services to raise capital through the issuing and trading of sovereign debt.

To pick up on the point about Nord Stream 2, we welcome Chancellor Scholz’s strong response to Russia’s egregious actions: Germany’s decision to suspend Nord Stream 2. We in Europe must now wean ourselves off dependence on Putin’s oil and gas. For example, in 2020 less than 3% of the UK’s total gas supply came from Russia.

Many hon. Members have mentioned the economic crime Bill. We are committed to bringing it forward.

[Stewart Hosie (Dundee East) (SNP)]

The Minister says we need to wean ourselves off Russian gas. That is eminently sensible, but I have a slightly wider question: do we need to wean ourselves off Russia more generally? Let me put it this way: does the Minister think it right in any circumstances that Tony Blair went to see then acting President Putin in 2000 or that David Cameron went to Moscow in 2011, almost to beg for Russian investment and placings and listings on the stock exchange? Surely we have made mistakes over a long period that have to do with political reputation as much as with the practicalities of gas supply.

[Amanda Milling]

The point that I want to make is about where we are today and where we have been for the past few days, weeks and months. Let us be honest: the build-up of troops on the border of Ukraine has been happening over some time.

We are committed to bringing forward the economic crime Bill. It will establish a new public register of beneficial ownership of overseas companies and other entities that own or want to buy UK property. It will ensure that individuals and entities can no longer hide in the shadows. It will also include reforms to Companies House that will bear down on the thousands of UK companies and other corporate structures used as vehicles for facilitating international money laundering, including from Russia.

We have increased checks on private flights, customs and freight travel under existing powers to prevent security threats to our people. On 17 February, the Home Secretary took decisive action to shut the tier 1 investor visa route to all new applicants of all nationalities, with immediate effect.

In response to the Russian invasion of Ukraine yesterday, we announced our first package of sanctions measures. With immediate effect, we froze the assets of five Russian banks. Four of those banks are involved in bankrolling the Russian occupation: Bank Rossiya, which is particularly close to the Kremlin; Black Sea Bank for Development and Reconstruction; IS Bank; and GenBank.