Repurposing Russian Assets to Rebuild Ukraine

Debate between Catherine McKinnell and Leo Docherty

Tuesday 27th June 2023 Commons Chamber

[Leo Docherty]

I entirely agree with my hon. Friend. Last week was a remarkable show of the convening power of the UK, the tremendous resolve of our Ukrainian friends and the remarkable scale of global support, not just in military hard power but in global capital. When that global capital is mobilised to help Ukraine resurrect itself, that will, in tandem with the military effort, lead to a Ukraine that is sovereign and able to resist all potential future threats. Last week was a great success, but there is more work to do.

Finally, let me say to the hon. Member for Cardiff South and Penarth that I am grateful for his reflections on his visit to Ukraine. His insights into the scale of the destruction are very welcome. I am grateful also that he mentioned the HALO Trust, which does heroic work to expedite de-mining. It is 30 years of work, and we are proud to be putting some of our investment into that. It is money extremely well spent. It also speaks to the horrendous scale of environmental damage that has been wreaked right across the country. I am very grateful overall for the hon. Member’s constructive tones.

I should reassure the House that our sanctions have inflicted a severe cost up until this point on Putin for his outrageous imperialist ambitions. In collaboration with key partners, we have now sanctioned more than 1,600 individuals, including 130 oligarchs. We have frozen more than £18 billion-worth of assets in the UK and sanctioned more than £20 billion-worth of UK-Russia goods trade. We will stand with Ukraine for as long as it takes in that regard.

[Catherine McKinnell]

The Minister has set out the significant recovery of assets through sanctions, which rather brings us back to the point that the Government have not really been clear about: what is the delay on deciding how and whether those assets can be repurposed for reconstruction in Ukraine? Am I right in thinking that the Government responded to a parliamentary question back in July 2022—so almost a year ago—saying that they were considering all options on assets that have been seized, including whether they can contribute towards the reconstruction of Ukraine? Why is it taking so long? It does create the fear that the Government have considered it, but have not yet come up with the answer.

[Leo Docherty]

It is taking a long time because it is very complex. There is no straightforward legal route. No other nation has yet come up with a tested legal proposition despite legislative activity. We are therefore moving in tandem with our allies to expedite and find a route, but if it were very simple, we would have done it already.

Through the G7 leaders’ statements, we have been very clear that the perpetrator should pay. We have underlined our continued commitment to that objective by introducing new legislation to enable us to keep sanctions in place until Russia compensates Ukraine. Nothing is off the table, as I have already said today, and we continue to work with our international partners on the options for using sanctions for reconstruction purposes. However, of course, if it is not legal, it is not viable and therefore not useful.

Oral Answers to Questions

Debate between Catherine McKinnell and Leo Docherty

Monday 5th July 2021 Commons Chamber

[The Minister for Defence People and Veterans (Leo Docherty)]

Let me put on record my thanks for the magnificent work done by my right hon. Friend and the Royal British Legion in Harlow. We are putting millions into that sector every year, which is the right thing to do. I would very much like to visit his constituency and see that up close.

[Catherine McKinnell (Newcastle upon Tyne North) (Lab) [V]]

  In Newcastle, the armed forces community covenant commits the council to tackling disadvantage in access to employment, education, housing and healthcare. Does the Minister share my concern that by not covering all those important areas in the Armed Forces Bill and therefore setting a legal standard in the armed forces covenant that is below existing voluntary commitments such as those in Newcastle, the Government risk creating a postcode lottery for many veterans in accessing services?

[Leo Docherty]

No, I do not agree. The Armed Forces Bill and the statutory guidance focus on the critical areas of housing, healthcare and education. If we need to broaden that statutory guidance in future to include more areas—it is evergreen, much like the Ministry of Defence ministerial team—we will.