Russia (Sanctions) (EU Exit) (Amendment) (No. 3) Regulations 2024

Debate between Lord Collins of Highbury and Lord Vaux of Harrowden

Tuesday 15th October 2024 Grand Committee

[Lord Collins of Highbury (Lab)]

I was going to come to that point. I am more than happy to sit down and write on the question of secondary sanctions, because this is not simply about how we extend our regime; it is a point of principle as well. As I and the noble Lord, Lord Ahmad, have said repeatedly, sanctions are effective only if we act as a collective with our allies, not by working in isolation. If we want sanctions to be more effective, we have to convince our allies and others to support those objectives. Anyway, I would be happy to try to pick up on those points in writing.

My next point, which I was going to come to, is precisely on the overseas territories. The noble Lord, Lord Purvis, has asked questions about them before; I have done so myself. At the time, the noble Lord, Lord Ahmad, answered that

“all UK sanctions regimes apply in all the UK Crown dependencies and overseas territories, either by Orders in Council or through each jurisdiction’s own legislation”.—[Official Report, 20/7/22; col. 2021.]

The UK, the Crown dependencies and the overseas territories all stand united in condemning Russia’s aggression and have been working in lockstep to enforce UK sanctions, including freezing £9 billion worth of assets. Each territory’s Government are responsible for the implementation and enforcement of sanctions within their territory. We and the OFSI already provide technical support, including through targeted use of programme funds, to build capacity and strengthen sanctions enforcements within those Governments’ jurisdictions. This Government will explore with the overseas territories’ Governments what more we can do to further strengthen their enforcement capability.

I think the question about India, separate from the trade agreement, is: is India undermining our sanctions by selling to Russia? We regularly raise Russia’s actions in Ukraine with India. The Foreign Secretary did so most recently during his opening conversation with the Indian Foreign Minister. The Foreign Secretary highlighted the importance of tackling Russia’s shadow fleet and the need for continued dialogue on this issue. India is a key partner for the United Kingdom and we are committed to working together across a range of issues, including on our commitment to tackle all forms of sanctions circumvention.

The final point was made by the noble Lord, Lord Callanan, about Eversheds Sutherland.

[Lord Vaux of Harrowden (CB)]

Before the Minister moves on to that, on India and, actually, the wider Turkey and China issue, he has not answered the question about how many Russian-originated oil products we are bringing into this country indirectly through India, China, Turkey and others, and what we are doing to try to prevent that. We are indirectly pushing money to Russia because of that process. There is also the unintended consequence of the sanctions on the shadow fleet: the ship-to-ship transfers, which are happening in various places. What environmental impact could that have and what can we do about it?

[Lord Collins of Highbury (Lab)]

We are working on that latter point and, obviously, taking safeguards. The point is that when people conduct illegal activity, you need to be able to police it. Again, that is something that we will work with our allies on.

I am happy to write to the noble Lord on the specific point about quantity, but it is extremely difficult to quantify how much processing is done. We talk about it being simply a refining process, but the refining is more complicated for the products that might be imported into the UK. There might be other products that are coming in.

[Lord Vaux of Harrowden (CB)]

It seems to be particularly aviation that is a problem.

[Lord Collins of Highbury (Lab)]

Yes, I know. I will write to the noble Lord and see what we are able to estimate.

I come to the final point, on the law firm Eversheds Sutherland. I am afraid I will have to write to the noble Lord, Lord Callanan, on that as well.

I have spoken for some considerable time on this, but it has been an extremely useful debate. I thought we would broaden out the discussion to the more general question about how our regime can be strengthened. I reassure noble Lords that we have transformed the use of sanctions. The measures in the regulations show our commitment to continuing to strengthen our sanctions regimes and their implementation and enforcement, and, more importantly, to review their ongoing appropriateness and changing foreign policy contexts.

Once again, I thank all noble Lords for their insightful contributions and continued cross-party support and co-operation, which are vital in sending a strong message to Putin and his regime. I hope the Grand Committee will support the regulations.