Tuesday 19th October 2021

(2 years, 5 months ago)

Lords Chamber
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Lord Browne of Ladyton Portrait Lord Browne of Ladyton (Lab)
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My Lords, I thank my noble friend Lord Dubs for initiating this important and timely debate, and I join other noble Lords who paid tribute to him for his tireless work on this and other humanitarian issues. He is an admirable member of this House. I agree with everything said so far, I think, and it is a privilege and a challenge to follow such thoughtful and informed speeches. I will do my best.

Only three days ago, an Iranian court apparently upheld Nazanin Zaghari-Ratcliffe’s sentence of another year in prison, prolonging her cruel and unjustified detention that began in 2016. The Government say they are doing all they can to get her home, but Iran has made it clear that her freedom and that of the other dual nationals has a price: the repayment of the debt owed since Iran bought tanks that were not delivered after the Islamic Revolution in 1979. On 7 June, in an Oral Question referring to Nazanin’s case, my noble friend Lord Dubs asked about the money owed by the UK. The Minister, in his Answer, said:

“On the long-standing debt, we continue to explore options to resolve this case, but I do not want to go into details here.”—[Official Report, 7/6/21; col. 1188.]


I will not ask him to go into details of plans, and in fact I will offer him a plan at some point in this speech.

On this issue, I agree with my honourable friend Tulip Siddiq, the Ratcliffe family’s MP. She said:

“It’s time for the UK government to pay the debt we owe to Iran, stand up to their despicable hostage-taking and finally get Nazanin home.”


In preparation for this debate, I asked my colleagues in the European Leadership Network—particularly a young man called Sahil Shah, who helped me enormously—who have been working since 2018 to preserve the JCPOA across Europe, Asia and the United States, to come up with a plan. I have a proposal. The speakers thus far have asked enough questions of the Minister; I will not ask him any questions, but will instead put to him a proposal that, if it can be made to work, may help both to secure Nazanin’s release and to unlock the stalemate of the JCPOA talks—without linking them together.

This week, the Iranian Foreign Minister explained to lawmakers in Tehran their policy of “action for action”. He said that the US must show good will and make a serious move before Iran returns to nuclear talks. Since Trump unilaterally abrogated the JCPOA, Europe, including the UK, has strongly opposed US secondary sanctions imposed under its “maximum pressure” campaign and, to keep the deal alive, has offered multi-sector economic engagement. However, because of fear of US sanctions, which are all-pervasive, it has failed to deliver any economic engagement—including, importantly, in the humanitarian sector. As a matter of fact—or a matter of law, I should say—sanctions on humanitarian trade are against both US domestic and international law. Contrary to expectations, the Biden Administration have essentially kept to this Trumpian strategy.

The need for increased Covid aid to Iran is dire. The Delta variant hit Iran hard: a recent study by BBC Persian found 200,000 excess deaths there, and many believe that to be a gross underestimate. Neither America nor Europe will ever be secure from the virus until the world, including Iran, is secure. We already have enough petri dishes allowing the virus to run riot and develop variants. We should be picking them off where we can; Iran is one that we can pick off. It is in our interests. We should ask the US to allow Iran to use its foreign exchange reserves, which are held in key countries, to aid its pandemic response. Doing so would ease humanitarian trade during a time when the pandemic has caused immense human suffering in a population already toiling under severe economic hardship from years of sanctions. The death toll in Iran is appalling.

The IMF estimates that, because of the maximum pressure sanctions, Iran has access to only around 10% of its total foreign reserves. Iran negotiated with South Korea, Japan, Germany and Iraq—countries where it maintains foreign reserves, but also where the US maintains strong bilateral relationships and exercises its muscle. Trump successfully discouraged all four from accommodating Iran, both directly and indirectly. The Biden Administration are now doing the same. I remind noble Lords that this all should be in contravention of US domestic and international law.

Instead—this is the plan—Biden could go beyond the escrow structure that has been used to facilitate the use of Iranian oil revenues for humanitarian trade.

Baroness Scott of Bybrook Portrait Baroness Scott of Bybrook (Con)
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I remind the noble Lord of the six-minute limit.

Lord Browne of Ladyton Portrait Lord Browne of Ladyton (Lab)
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Thank you. I have just a few sentences left, that is all.

On the condition that the reserves will not be transferred outside of the countries in which they are held, the US could recognise the authority of these four independent Governments to determine the scope of acceptable bilateral humanitarian trade with Iran. This approach could extend to the United Kingdom; we could use what we owe Iran to pay for the purchase of vaccines and other necessary medical supplies through INSTEX, which we set up with France and Germany but through which we have been unable to mobilise any trade. I commend this plan to the Minister and the Government.