UK Assets Linked to Sanctions Violations Should Fund Reparation for Ukraine’s Survivors
Since Russia’s full-scale invasion of Ukraine, human rights abuses have been rampant. Over 30,000 civilians have been injured, more than 10,000 have lost their lives, and countless others continue to endure lasting trauma. In addition, millions have been displaced, including at least 20,000 children forcibly transferred or deported to Russia.
In response to these actions, the UK has imposed extensive sanctions on Russia. As of last month, more than 2,200 individuals, entities, and ships have been targeted, with frozen assets worth at least £22.7 billion. The UK has also collected nearly £50 million from enforcing breaches of UK sanctions related to Russia’s invasion of Ukraine, including fines and seized assets.
Unfortunately, rather than reaching those who need these funds the most, the nearly £50 million has found its way back into UK government coffers, unused for the very purpose for which these sanctions were imposed.
A new briefing by REDRESS proposes that fines and penalties imposed by the UK’s enforcement agencies for violations of sanctions be repurposed to fund reparations for survivors of serious human rights or humanitarian law violations and serious corruption.
If directed properly, a portion of the penalties could compensate survivors of the very conduct sanctions seek to address. Penalties imposed for inadvertent breaches or for actions with indirect links to sanctionable conduct can also be used to benefit survivors.
By not taking this approach and keeping the penalties for itself, the UK is lagging significantly behind other jurisdictions, such as the US.
Our briefing further highlights recent UK sanctions enforcement cases and demonstrates how assets recovered, along with fines imposed by agencies such as the UK’s National Crime Agency (NCA), Office for Financial Sanctions Implementation (OFSI) and Financial Conduct Authority (FCA) could be repurposed to support survivors of serious human rights violations, humanitarian law violations and serious corruption.
The briefing also outlines the legal and policy reforms that could further support this repurposing, as well as offering concrete suggestions for redirecting a proportion of fines and recovered assets for reparation.
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