Roman Abramovich has been given one last chance to voluntarily hand over £2.5billion he made from selling Chelsea before the government takes legal action to seize it and hand it to Ukraine.
The Russian oligarch agreed to transfer the cash – earmarked for humanitarian causes – after selling the Premier League side when he was sanctioned three years ago following Putin’s bloody invasion.
But he has so far failed to reach an agreement with the Government on a way forward and the funds remain frozen in a bank account.
He wants it to be used for ‘all victims of the war’, meaning some could got to Russia.
Today Mr Abramovich was given 90 days to do the right thing or face the embarrassment of having it taken via the courts.
Speaking at Prime Minister’s Questions today, Sir Keir Starmer told MPs: ‘My message to Abramovich is this: the clock is ticking, honour the commitment that you made and pay up now, and if you don’t, we’re prepared to go to court so every penny reaches those whose lives have been torn apart by Putin’s illegal war.’
Mr Abramovich sold the club in May 2022 after he was sanctioned along with other senior Russian businessmen linked to Putin.
The decision today to grant a licence for the transfer is an effort to force Mr Abramovich to fulfil his promise before the Government resorts to legal action.
Under the new licence, the proceeds must go to humanitarian causes in Ukraine, while any future gains can be spent more broadly on victims of conflict around the world.
The Government previously raised the possibility of legal action in June, when Chancellor Rachel Reeves and then-foreign secretary David Lammy said they were ‘frustrated’ by the failure to reach an agreement with Mr Abramovich.
On Wednesday, Ms Reeves said it was ‘unacceptable’ that the money remained frozen in a UK bank and said ministers were ‘prepared to do what is necessary’ to ensure the funds reach Ukraine.
The Treasury said ministers would consider any proposal from Mr Abramovich to voluntarily transfer the money to Ukraine.
Under the new licence, the proceeds must go to humanitarian causes in Ukraine, while any future gains can be spent more broadly on victims of conflict around the world.
On Wednesday, Chancellor Rachel Reeves said it was ‘unacceptable’ that the money remained frozen in a UK bank and said ministers were ‘prepared to do what is necessary’ to ensure the funds reach Ukraine.
The Treasury said ministers would consider any proposal from Mr Abramovich to voluntarily transfer the money to Ukraine.
But the department declined to say what legal mechanism it could use to force the transfer of funds.
