Russia: Sanctions — House of Commons, 2022-01-31
Topic: International Affairs
David Lindon Lammy (Labour, Centre-left): I thank the right hon. Lady for advance sight of her statement, and for our discussions on this issue. I am very grateful As we in the Opposition have made clear since this crisis began, we stand in resolute support of Ukraine’s sovereignty and in opposition to Russian aggression. We support the essential international diplomatic efforts to achieve de-escalation and the defensive support provided to Ukraine. I said it in Kyiv two weeks ago, and I say it again now: we on these Benches believe that it is important to send a united message from the whole House. That is why we welcome moves by the Government to lay the groundwork for a robust and extensive package of sanctions against Russia in the event of any incursion or attack on Ukraine We believe that these measures must be broad, severe and comprehensive. They must apply widely to crucial sectors of the Russian economy, without gaps or loopholes They must target corrupt elites who store their money in our country. They must target not just relevant Russian entities, but those who enable, support, service or facilitate their activities. Can the Foreign Secretary confirm that UK subsidiaries of any new sanctioned targets would not be carved out of scope? We know that some oligarchs have used their wealth to seek influence and protect themselves from criticism, so may I ask for her assurance that these measures will be applied without fear or favour? Given that the measures were pre-briefed and include broad categories of potential targets, may I ask what assessment she has made of the risks of asset flight, and what steps she has taken to protect against it These sanctions are conditional on Russia’s actions. Their purpose is to form a serious deterrent, which when matched by unified action and the work of the G7, NATO and the OSCE, will make President Putin think again. However, there is much more that we must do irrespective of the decisions made by President Putin—things that it should not have taken an army threatening Ukraine to put in place; things that the Opposition have repeatedly urged the Government to address. For years, the Labour party and colleagues across the House have raised the alarm about the role of dirty money in keeping Putin in power For too long, our defences have been let down at home while the Government looked abroad. Despite warning after warning and report after report, the Government have been asleep at the wheel. London is the destination of choice for the world’s kleptocrats. We are home to the services and enablers who help corrupt elites to hide their ill-gotten wealth. We have a system of corporate transparency that permits the products of larceny on a grand scale to be hidden under our noses—and the result is the embarrassing spectacle of President Biden being warned that the widespread presence of suspect Russian money in the UK could jeopardise Britain’s response to this crisis. This is not a matter simply of individuals, welcome though that action is; it is about fixing a broken system—our openness to fraud and money laundering, our inadequate regulation of political donations, our lax mechanisms of corporate governance, and our weakness to foreign interference I therefore ask the right hon. Lady the following questions. Where is the economic crime Bill that the Government have just pulled? Where is the comprehensive reform of Companies House? Where is the register of overseas entities Bill? Where is the foreign agent registration law? Where are the new counter-espionage laws? Where are the new rules on political donations? Where is the reform of tier 1 golden visas? Where is the replacement of the outdated Computer Misuse Act 1990? Where is the reform of the Electoral Commission, and why does the Government’s Elections Bill make these problems worse by enabling political donations from donors based overseas The right hon. Lady’s movement on sanctions is welcome, but there is much, much more to do. These steps at home are not distinct from sanctions or diplomacy abroad. They must form part of a unified and coherent response—one that has been urged consistently by the right hon. Member for New Forest East (Dr Lewis), the Chair of the Intelligence and Security Committee. If she truly wants to fix the problem, she must start there.