Sanctions

Lord Wallace of Saltaire Excerpts

Tuesday 1st March 2022 Lords Chamber

[Lord Ahmad of Wimbledon (Con)]

My Lords, I can certainly speak for the United Kingdom Government. For example, through Operation Orbital we were providing defence support directly to Ukraine immediately after the occupation of Crimea. We have a long-standing relationship with Ukraine: indeed, President Zelensky and Foreign Minister Kuleba have talked of the strong support they have received from the United Kingdom over a number of years. However, I acknowledge that when there is a crisis of the magnitude we now see in Ukraine, with the sovereignty of Ukraine being directly usurped by Russia, it is right that we, the Europeans, and all international partners look to do what we are doing, and do more. There is more still to be done.

[Lord Wallace of Saltaire (LD)]

My Lords, I think that everyone in this House would like to compliment the Minister on the enormously valuable work he has done and continues to do on this; we all appreciate it. However, can he take back to his colleagues that saying all the time that we are leading on this and leading on that is not the right tone? To say that we are working with others, we are co-operating, we are in solidarity with our partners and allies would be much more constructive in the current context.

Can I also ask about the domestic dimension of sanctions? I was very struck by the paragraph in the Intelligence and Security Committee’s Russia report which said that the penetration of British society and politics by wealthy Russians resident in London has gone so far that it is now in some ways difficult to untangle. We must now see what we can do to untangle that. Can we be assured that the Government will not only do their best to untangle it, but report to Parliament on what they are doing?

[Lord Ahmad of Wimbledon (Con)]

My Lords, on the noble Lord’s second question, perhaps I can answer it with his first suggestion. To untangle such challenges we must work together, which is exactly what we are doing. We are working here in the United Kingdom and with key partners to negate the negative influence of Russian money and illicit finance in the United Kingdom and more broadly. As he will have seen from the sanctions we have introduced, they are reflective of that very objective. I am sure he will find that, as further legislation comes forward, further sanctions are applied and we have discussions on the economic crime Bill, we can untangle some of those issues.

On the issue of leadership, I have served with the noble Lord in government and I am sure he agrees that there are times when the United Kingdom leads the way, and I am proud of that. The richness of our history, our experience and our expertise reflects that. It is that leadership which also leads to enhanced partnerships, and that is exactly the approach we have adopted in this crisis.

Russia (Sanctions) (EU Exit) (Amendment) Regulations 2022

Lord Wallace of Saltaire Excerpts

Thursday 24th February 2022 Lords Chamber

[Lord Cashman (Lab)]

My Lords, I congratulate the Minister on his opening statement. We all believe that sanctions must be tougher and go much further. I agree with everything that my noble friend Lord Foulkes has said, particularly in relation to SWIFT. That is a very good mechanism for bringing Putin and the rest of his mob to reality.

Having visited Ukraine pre pandemic, and having worked with NGOs there, which have wrought such wonderful, positive changes, I urge the Minister, through his department and others, and the embassy in Ukraine, to work very carefully and closely with these NGOs. In particular, might I make a plea for those NGOs working on LGBT issues? When we look at the history of Russia under Putin, and its views and treatment of minorities—particularly the LGBT+ minority—they and we have much to fear, so anything the Minister can do in this regard will be welcomed, not only by friends and sympathisers in this country, but by those NGOs and individuals who currently feel vulnerable and under great threat in Ukraine.

[Lord Wallace of Saltaire (LD)]

My Lords, I always think about the inadequacies of the Government’s response to the Intelligence and Security Committee’s Russia report. I recall the paragraph that talks about the penetration of our society and politics by people from these autocratic states, which, to some extent

“cannot be untangled and the priority now must be to mitigate the risk”.

We now need some much more decisive action from the Government to mitigate that risk and to see how far we can untangle this.

I was very struck by the inadequacy of the Government’s response to that report in the following respect. The Intelligence and Security Committee recommended that the Government should publish the evidence that they had collected on foreign penetration of British politics. We know that that has happened on the right and on the left: on the hard right and on the hard left. The Government’s response was that they had

“seen no evidence of successful interference”

in British politics. That is a phrase that I would love to have drafted if I had been a civil servant: it lets them completely off the hook. There clearly is evidence of foreign penetration, whether or not it has been successful, and the Government should now publish that in full.

I will ask the Minister a question about the Crown dependencies and the overseas territories. We are now extending—and there are more to come—sanctions against Russians close to Putin, and their money. Much of the money that has come through the London laundromat has gone on to the Crown dependencies and the overseas territories. When the British Government, as the sovereign, enforces sanctions, what happens to the Crown dependencies and the overseas territories? Do we ask their permission? Do we suggest that they might possibly consider that it is desirable to follow within the next few months, or do we, as their sovereign, say that on a matter as important as this, they must now follow?

[Lord Browne of Ladyton (Lab)]

My Lords, I rise to ask one very specific question about the impact of sanctions, but before I do that, I would like to associate myself with the earlier remarks commending the Minister on his introductory description of where we are and why we should roundly condemn Russia’s actions. He got the tone of that exactly right, and we need to continue with that.

I am conscious that, later today, we will take the Statement from the Prime Minister and have an opportunity to debate that, and we will have a long debate tomorrow. I therefore intend to restrict myself to sanctions, although I share all the ambitions of previous speakers that we will be able to extend our influence on a legal basis against the interests of people who are supporting this dreadful and inexcusable criminal behaviour that is taking place as we speak.

Here is my question. These sanctions need to be meaningful. I carefully read the debate on them in the other place, and I have read the letter that the Minister sent to us all thereafter, which deals with a number of the technical and legal points that were raised in that debate, some of which have been repeated here today. I am clear that nowhere in that debate did the Minister say at any point what the three persons mentioned in the sanctions on Tuesday—Gennady Timchenko, Boris Rotenberg and Igor Rotenberg—are not able to do today that they were able to do on Monday; nor did anybody say what impact these sanctions would have on any of those relatively small banks. They may be very important, but what are those banks not able to do today that is within our jurisdiction that they were able to do on Monday?

I raised this issue with the Leader of the House when that Statement came on Tuesday to your Lordships’ House. I said specifically that I recognised that this was a framework for the sanctions to be made, but the implementation of them depended on a suite of legislation, not only for their existence but for their actual use properly for the purpose for which they were designed. She gave me a very comprehensive answer, but the answer was all, “We have plans to”, “We intend to”, “We are working on”, “We are looking at”. I am not quoting her exactly, but it was all prospective.

We need to put into position a suite of powers that will then allow us to do what we need to do, so as we debate these sanctions, we should not kid ourselves that we are having an impact on Putin or any of his acolytes today, but we may have in the future. Interestingly, today, before the Prime Minister makes the Statement to the House of Commons, it is being reported that he is promising massive sanctions designed—and this is the interesting phrase—“in time” to hobble the Russian economy. Why do we not already have the ability to change the way in which Companies House practises and its ability to pour out shell companies that people can use to hide their assets? Why do we not have anti-money laundering legislation that is used in an impactful way to prevent the sort of stuff that is going on? Why do we not already recognise that we have people in the City of London who make a significant living out of facilitating all of that sort of behaviour, and they do it openly, with nameplates on the door that tell people that that is what they are doing?

It is important that the Government recognise that what we are doing here is legislating for potential, but it is not potential that will be impactful, although it may, for a couple of days, affect the sentiments of the stock exchange.

Europe: Foreign Policy and Defence Co-operation

Lord Wallace of Saltaire Excerpts

Monday 21st February 2022 Lords Chamber

[Lord Goldsmith of Richmond Park (Con)]

My Lords, as the noble and learned Lord knows, Ukraine is a sovereign nation with a long and rich history of cultural and political independence. Ukraine has the absolute right to determine its own future. The sovereignty and integrity of Ukraine, and other partners, are not remotely up for discussion.

[Lord Wallace of Saltaire (LD)]

My Lords, could the Minister take back to the Foreign Office the strong message that it does not help the cause of close co-operation with France and Germany if Cabinet Ministers make comments which suggest that they are weak and we are strong? For example, the suggestion that there was a whiff of Munich in President Macron going to Moscow was not helpful for Franco-British co-operation. I am well aware that the Blair Government did much the same in criticising the French in the run-up to the Iraq war. That damaged our co-operation with our major European partners, too.

[Lord Goldsmith of Richmond Park (Con)]

My Lords, I hope that what I have already said today in response to questions put to me reassures the noble Lord that we do not take lightly the importance of our relationship with major European powers when it comes to confronting these common challenges. What I have said today is a perfect reflection of the Government’s position.

Autocrats, Kleptocrats and Populists

Lord Wallace of Saltaire Excerpts

Thursday 3rd February 2022 Grand Committee

[Lord Wallace of Saltaire (LD)]

My Lords, I say to the noble Lord, Lord Balfe, that we have to say something about the UK’s standing as a democracy because that affects our ability to respond to the current situation. We all agree that we face a global push-back against democracy and the rule of law. It is led by China and Russia, supported by the central Asian states that emerged from the USSR, and now also by Turkey, with governing parties in two EU members, Hungary and Poland, drifting into that camp.

I want to stress the role that Middle East autocracies are actively playing in this development. We have seen the wealthy Governments of the UAE and Saudi Arabia actively working to suppress the democratic efforts of the Arab spring, supporting the military coup in Egypt, funding anti-democratic forces in Libya, helping to undermine democracy in Tunisia and contributing almost as much as Iran and Israel to the destabilisation of Lebanon. Their elites also penetrate open democracies such as the UK, employing PR companies and buying football clubs to bolster their reputations. They buy mansions and country estates and gain acceptance within our political and social elites. The current rise in energy prices will increase their ability to extend their influence through societies like ours.

The global reputation of democratic government has been shaken by recent events in the United States and Britain. The American Republican Party, which some in our Conservative Party still see as a model they wish to follow, is engaged in voter suppression and election-fixing. Here, we have a Prime Minister who has broken the Ministerial Code on numerous occasions and stretched the boundaries of reasoned debate, respect for opposition and the rule of law.

The Lords will shortly be scrutinising the Elections Bill—it was originally entitled the election integrity Bill but has now dropped the claim to integrity—which has been designed to tilt our democracy further in favour of the Conservative Party. That will be followed by the Higher Education (Freedom of Speech) Bill, an almost direct copy of Republican efforts within the United States, which is intended to extend state influence over university teaching and appointments.

Populist Ministers in our Government repeatedly attack the BBC for its failure to present the government line uncritically. The Prime Minister loves to talk about Britain as a “soft power superpower”. I remind the Minister that the integrated security strategy published a year ago noted five key elements of British soft power as the BBC, the global reputation of our universities, the generosity of our international development efforts, the work of the British Council and the strength of our cultural sector. All have been undermined since then by government decisions and ministerial attacks.

Our populist Prime Minister loves to talk of Britain “leading” a group of democratic nations across the world. Sadly, we are in no position to lead the democratic world now. A glance at overseas media across continental Europe, south Asia and North America shows that the political antics of recent years have replaced respect with ridicule. I sympathise with the Minister, who must of course defend the Government; he is somewhat better than this, but he will be painfully aware of the damage that current events have done to Britain’s global reputation.

However, at least we can do something to reduce the penetration of British politics, society and business by kleptocrats from authoritarian states. One of the most disturbing statements in the Intelligence and Security Committee’s Russia report, in paragraphs 50 and 53, was that the integration of post-Soviet oligarchs into

“the UK business and social scene … cannot be untangled, and the priority now must be to mitigate the risk”.

Boris Johnson’s attempts to downgrade and delay government action in response to the recommendations of the Russia report are one of the most disgraceful aspects of his premiership.

Priority in the next parliamentary Session must be given at last to the economic crime Bill and revision of our outdated Official Secrets Act. I hope also that the Government will accept the amendment I have tabled to the Nationality and Borders Bill to suspend the tier 1 investor visa scheme, which has allowed oligarchs to import corruption into the UK and buy access to the top of the Conservative Party. Such changes will reduce the damage that has been inflicted on Britain by corrupt and hostile foreign influences. But other changes will be needed to restore our damaged global reputation as a democratic, open society.

[The Deputy Chairman of Committees (Lord Faulkner of Worcester) (Lab)]

We were due to hear from the noble Lord, Lord Hacking, but he is not here. Perhaps the noble Lord, Lord Hannay, would now like to speak.

Russia: Sanctions

Lord Wallace of Saltaire Excerpts

Tuesday 1st February 2022 Lords Chamber

[Lord Ahmad of Wimbledon (Con)]

My Lords, as the noble Lord knows, on the central point of Ukraine joining NATO, it is first and foremost a defensive alliance. A country can make an application and it is considered by all members of NATO. No country should be told specifically that it cannot be a member of a particular alliance; it is very much for Ukraine to request its membership and for members of NATO to decide.

[Lord Wallace of Saltaire (LD)]

My Lords, the presentation in Washington has often been—as I have seen in recent days—that the United Kingdom has only really acted under American pressure. That does not look good in Washington. Can the Minister reassure us that that was not the case? While we are tackling this issue, late as we are to it, can the Government ensure that we take a broader attitude to the question of Russian influence within the British elite, which the ISC Russia report flagged up three years ago? We need now to deal with not just the immediate question of the Ukraine crisis; there is a much broader question. Lastly, have the Government done any impact assessment of, for example, the implications for the property market in London and the south-east of imposing sanctions?

[Lord Ahmad of Wimbledon (Con)]

On the noble Lord’s last point, I suppose I should declare an interest: I am a property owner in London and the south-east. In all seriousness, without going into too much detail, as I said—and I know that the noble Lord, Lord Purvis, had to leave, but I recognise the courtesy extended by his note to me—we are looking at the broader impact, as the noble Lord indicated.

On the issue of engagement in Washington, I assure the House that we have been engaging on the front foot. Let us not forget that we have been engaging on this issue longer than the current US Administration. We have always made the case as strong partners of Ukraine—one can ask Ministers present and past in the Ukrainian Government. I have sat with a number of them at the United Nations who have indicated their strong support, not through us asking them, but quite genuinely, for the leadership the United Kingdom has showed in solidarity, support and friendship for Ukraine.

Diplomatic Influence Post Brexit

Lord Wallace of Saltaire Excerpts

Wednesday 12th January 2022 Lords Chamber

[Lord Goldsmith of Richmond Park (Con)]

As I said, my Lords, we retain good diplomatic relations with European states and share foreign policy goals with them, particularly on issues around Russia, Iran and China and indeed on the issue that the noble and gallant Lord raises. The trade and co-operation agreement provides for future co-operation on emerging security challenges—everything from counterterror to cyber- crime. It also provides for an agreement on security of information that will allow the UK and the EU to exchange classified information on a voluntary basis.

[Lord Wallace of Saltaire (LD)]

I remind the Minister that Lord Carrington and Geoffrey Howe, two of the main architects of the institutions of European foreign policy co-operation, said on many occasions that this was one of the most valuable aspects of our membership of the European Union; that should not be forgotten. It was agreed in the Foreign Office 20 years ago that we could cut our staff in bilateral embassies across Europe because we did so much of the business in Brussels. Has the Foreign Office now accepted that we need to increase substantially our staff in bilateral embassies across Europe, even as the overall diminution in the size of the Diplomatic Service is still under way? We need to increase those bilateral staff if we are to maintain our contacts.

[Lord Goldsmith of Richmond Park (Con)]

In the last decade our diplomatic network has expanded by over 10%, making it the fourth largest global network of embassies and high commissions after China, the US and France. We now oversee one of the world’s largest diplomatic networks, with 282 posts covering 179 countries and territories, including 161 embassies or high commissions. In the EU, the Foreign Office has carried out a comprehensive review of resources across Europe to ensure that we have the right staff focused on the right priorities. However, the noble Lord makes an important point that is fully accepted by the Foreign Office.

Iran: British-Iranian Prisoners

Lord Wallace of Saltaire Excerpts

Monday 7th June 2021 Lords Chamber

[Lord Ahmad of Wimbledon]

My Lords, as I have already said, on the issue of the debt, we continue to explore options to resolve this case at the earliest opportunity, but that is all that I can say at this point.

[Lord Wallace of Saltaire (LD)]

My Lords, do the Government have a coherent policy towards dual nationals? Do we know how many dual nationals there are with a British nationality, and which other countries it is most commonly shared with? Do the Government have a clear policy towards the right of protection that we offer when they are back in their other countries of nationality? Do we intend allowing them to vote both in Britain and in their other country of nationality, regardless of where they are resident—for example, under the forthcoming EI Bill? Will the Government issue a White Paper on this?

[Lord Ahmad of Wimbledon (Con)]

My Lords, I think that I followed the train of the noble Lord’s question. He will be aware that Iran does not recognise dual nationalities. We are aware of all dual nationals, including those who hold more than two nationalities. As I said earlier, we do not go into the numbers, to protect those who are being held.

Integrated Review of Security, Defence, Development and Foreign Policy

Lord Wallace of Saltaire Excerpts

Thursday 22nd April 2021 Lords Chamber

[Lord Wallace of Saltaire (LD)]

My Lords, parts of this integrated review read more like a party manifesto than a closely argued analysis of threats and capabilities. We learn a lot about the Prime Minister’s ambitious visions for the future but much less about how they are to be achieved.

Some sections invite satirical comment. Page 64 tells us:

“The UK is the nearest neighbour to the Arctic region.”


That will surprise the Governments of Norway, Iceland, Sweden, Finland, Canada and Russia—unless Boris Johnson is planning to imitate Donald Trump by making a takeover bid for Greenland.

Like others, I was struck by the many contradictions and inconsistencies in the document. It proclaims that Britain is a “soft power superpower” which benefits from the global reputation of the BBC, our world-class universities and the quality of our cultural life. It also underlines and emphasises the importance of integrating domestic and external policies. In domestic politics, however, Ministers are hostile to the BBC and dismiss and condemn university teachers, artists and writers as the core of the despised metropolitan liberal elite. Observers in other countries notice these attacks on such national assets, even if the Prime Minister’s vision is too short-sighted to recognise them.

There is a fundamental contradiction between the assertion of sovereignty as a core value and the representation of the UK as a champion of multilateralism, global order, human rights and international law. The Chinese are right to say that criticism of their treatment of the Uighurs is an invasion of their sovereignty. We defend global values against Chinese sovereignty. The British Empire could both assert its full sovereignty and impose its views on others, but we no longer have an empire and we cannot pretend to be world-leading in all the fields that the Prime Minister fondly imagines that we can. He should talk more about partnership and less about leadership.

The identification of Russia as the most direct threat to British security is undermined by the priority given to the Indo-Pacific. Almost the only reference to the European Union—as has been remarked—states that the UK will

“find new ways of working with it on shared challenges”

but it does not tell us what those new ways might be. Later, it says:

“We will also look for ways to work more closely with European partners, including France and Germany.”


Ministers should not have to look very far: the UK has had a bilateral defence partnership with France since 1998, although Conservative Ministers have done their best not to tell Parliament about it since 2010. Indeed, one Defence Secretary told me directly that he accepted close co-operation with France provided that Parliament knew as little about it as possible.

The claim that the UK will become the European power with the strongest presence in the Indo-Pacific is also an exaggeration: the French are there already with territories, citizens, armed forces and diplomats. In winding up, therefore, will the Minister commit the Government to informing Parliament about the current state of the Franco-British defence partnership and plans for its future development? A review that devotes so much more attention to relations with India than with our nearest continental neighbour—Europe’s other military and global power—is not an entirely serious document.

Clergy: EU Visas and Residence Permits

Lord Wallace of Saltaire Excerpts

Tuesday 13th April 2021 Lords Chamber

[Lord Ahmad of Wimbledon (Con)]

My Lords, as I have already said in response to an earlier question, we are working very closely with the Church of England. We have set up a specific fund that helps to support UK citizens and are working with partner organisations, of which the Church of England is one, on the programme that the noble Lord has raised. I will write to him on the specifics of that.

[Lord Wallace of Saltaire (LD) [V]]

My Lords, I want to press the Minister on reciprocity. There are expatriate communities in this country that also have religious services—the Swedish Church in London, in which I have sung, and other Lutherans; French and Polish congregations; Jewish congregations with visitors from the continent—so there are clear mutual interests. Are we negotiating on the basis of reciprocity or are we asking for greater freedom of access for UK citizens in the EU than for EU citizens in the UK?

[Lord Ahmad of Wimbledon (Con)]

My Lords, the noble Lord raises an important issue on reciprocal arrangements. There are a whole range of areas where we have seen reciprocal arrangements put in place. The whole purpose of the Specialised Committee on Citizens’ Rights, which is supported both by the UK and by the EU—officials are meeting regularly—is to unlock those very issues that can provide for the kind of access that he is suggesting.

United States: Diplomatic Relations

Lord Wallace of Saltaire Excerpts

Monday 1st March 2021 Lords Chamber

Asked by

[Lord Wallace of Saltaire]

To ask Her Majesty’s Government what plans they have to conduct their diplomatic relations with the Government of the United States on the basis of sovereign equality.

[The Minister of State, Foreign, Commonwealth and Development Office (Lord Ahmad of Wimbledon) (Con)]

My Lords, we look forward to deepening the close alliance between our two sovereign nations. At the G7 meeting on 19 February we welcomed President Biden’s reaffirmation of the centrality of the transatlantic partnership in dealing with the challenges the world faces. We will work closely with the Biden Administration through our presidency of the G7 and COP 26 this year. With so many commonalities between us, we are confident that the UK/US relationship will continue to prosper and strengthen.

[Lord Wallace of Saltaire (LD) [V]]

My Lords, the noble Lord, Lord Frost, the Prime Minister and others have declared that sovereign equality is a vital principle for becoming global Britain once more. I assume it ought to apply to all relations with other countries, which suggests we should renegotiate some of the structurally unequal aspects of the US/UK relationship, such as the status of US bases in Britain and the arrangements on extradition. Or do we need an alternative concept for the US/UK special relationship: sovereign dependence?

[Lord Ahmad of Wimbledon (Con)]

My Lords, our partnership with the US reflects some of the points that the noble Lord has raised and yes, that includes defence and security. The bases in the United Kingdom underline the importance of not just the UK/US relationship but of our working together in partnership to strengthen institutions such as NATO.