Ukraine: Reconstruction Debate
Full Debate: Read Full DebateDepartment: Foreign, Commonwealth & Development Office
Lord Purvis of Tweed
Main Page: Lord Purvis of Tweed (Liberal Democrat - Life peer)Department Debates - View all Lord Purvis of Tweed's debates with the Foreign, Commonwealth & Development Office
(11 months ago)
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Lord Ahmad of Wimbledon (Con)
My Lords, I disagree on several points here. What is very clear, and I think the majority of your Lordships will agree with me, is that Russia is accountable. The freezing of these assets has had a net benefit. The majority of your Lordships and those in the other place fully support the Government in their position, which is to ensure that we immobilise Russia’s ability to finance its war effort. We have taken action to ensure that assets worth more than $400 billion cannot be mobilised. Not taking the steps we have taken would have allowed that $400 billion to be used differently. We need to ensure that we focus our actions. As I said before, everything we are doing, which is why we are being very careful in this, is in association with our G7 partners. We are working with other countries on the circumvention of the sanctions we have imposed and are ensuring that the actions we take are legally underpinned.
Lord Purvis of Tweed (LD)
My Lords, we now have £21.6 billion of frozen assets in the UK. Across Europe as a whole there are over £300 billion. On Monday, the European Union decided to institute a windfall tax on those frozen assets, which will accrue €2.3 billion for the Ukrainian people. Why are we not putting in place a windfall tax on frozen assets in the UK so that we can contribute to the Ukrainian people from that?
Lord Ahmad of Wimbledon (Con)
I am aware of the steps that other jurisdictions are taking. I am not going to make policy on the hoof here and suggest that we are now going to impose windfall taxes, et cetera. There could be a general political point I could make towards the Lib Dems on windfall taxes generally and domestically, but I will refrain because of the seriousness of the subject. It is important that actions are co-ordinated and that as other jurisdictions, the US and the EU, take steps we reflect on what they are and see how they can best be reflected in our systems and structures.