UK PM Johnson unveils ‘severe’ sanctions against Russia

LONDON, Feb 24 (Reuters) -British Prime Minister Boris Johnson unveiled a package of “severe” sanctions against Russia on Thursday, targeting banks, members of President Vladimir Putin’s closest circle and the extremely wealthy who enjoy high-rolling London lifestyles.

Western nations are coordinating action to impose tough sanctions against Russia in response to its all-out invasion on neighbouring Ukraine, where Moscow staged missile strikes on cities and poured its troops into the country.

Speaking to parliament, Johnson said Putin would be condemned by the world and by history for his invasion, never able to cleanse the “blood of Ukraine” from his hands.

“This hideous of barbarous venture of Vladimir Putin must end in failure,” he told parliament when announcing the new sanctions. 

The government said it would impose an asset freeze on some major Russian banks, including state-owned VTB, its second-biggest bank, and stop major Russian companies from raising finance in Britain.

Since the fall of the Soviet Union three decades ago, London’s capital markets have been the favoured destination for Russian companies seeking to raise money outside Moscow.

British Prime Minister Boris Johnson said Russian banks would be excluded from London’s financial system as part of further sanctions after Moscow launched an all-out invasion of Ukraine by land, air and sea on Thursday.

“These powers will enable us totally to exclude Russian banks from the UK financial system, which is of course by far the largest in Europe, stopping them from accessing sterling and clearing payments through the UK,” Johnson told parliament, adding the United States was taking similar measures.

“These powers will also enable us to ban Russian state and private companies from raising funds in the UK, banning dealing with their securities, and making loans to them. We will limit the amount of money the Russian nationals will be able to deposit in their UK bank accounts.”

Below are some of the measures to introduced: 

UK to ban Russian companies from its capital markets 

UK will announce an asset freeze against major Russian banks, including its second biggest bank, state-owned VTB VTBR.MM

UK to introduce legislation to limit deposits that Russian nationals can hold in UK bank accounts 

UK to lay legislation to prohibit wide range of high-tech exports to Russia, plus export to extractive industries 

UK to immediately suspend or prohibit all dual use export licenses to Russia 

UK to set up new cell in National Crime Agency to target sanctions evasion so oligarchs have nowhere to hide 

UK to ban Aeroflot aircraft from landing at its airports

Britain announced sanctions on the below individuals and entities on Tuesday Read full story:

Individuals

Gennady Timchenko

Boris Rotenberg 

Igor Rotenberg

Entities: 

Bank Rossiya 

Black Sea Bank for Development and Reconstruction

Joint Stock Company Genbank

IS Bank 

Public Joint Stock Company Promsvyazbank

The government has also said it intends to:

– extend the territorial sanctions imposed on Crimea to non-government controlled territory in the breakaway republics of Donetsk and Luhansk.

– sanction Russian lawmakers who voted to recognise the independence of Donetsk and Luhansk.

(Reporting by Muvija M, William James and Andrew MacAskill; editing by Guy Faulconbridge)