Britain Unveils Trade Sanctions Unit to Tackle Non-Compliance

The UK has launched a new Trade Sanctions Unit to enforce compliance with trade restrictions on services exported to Russia. The unit is part of efforts to impose pressure on Russia following its invasion of Ukraine, with sanctions affecting over £20 billion in trade.

The United Kingdom has introduced a Trade Sanctions Unit with enhanced capabilities to penalize businesses that do not adhere to export restrictions aimed at Russia. This initiative aims at enforcing Britain's sanctions, which impact over £20 billion in trade with Russia since its incursion into Ukraine in 2022.

According to Business and Trade Secretary Jonathan Reynolds, the new unit will aid in ensuring corporate compliance with trade sanctions, taking strong enforcement action when necessary. The Office of Trade Sanctions Implementation (OTSI) will possess the authority to impose fines on companies violating the sanctions and has the power to 'name and shame' them publicly.

Focusing on professional and business service exports, the unit's responsibilities do not extend to goods, which remain managed by existing units. The OTSI will also investigate UK nationals breaching sanctions while operating in third countries, amplifying Britain's trade sanction enforcement capabilities.

(With inputs from agencies.)