House of Commons · General Debate
19 July 2023 · 8 other contributors
Opened by Anne-Marie Trevelyan Con Berwick-upon-Tweed
Summarised by AI from the official record, so it can contain mistakes.
Anne-Marie Trevelyan raised concerns about sanctions in the House of Commons. A government minister responded. Other MPs also contributed.
Key points
MPs spoke in turn to share their views and ask questions. Here's what each person said.
Opened the debate
The regulations amend the existing sanctions framework to prohibit UK-based legal advice on specified commercial activities sanctioned by the UK Government. This measure is part of a larger package of economic sanctions against Russia, aiming to increase pressure on Putin for his illegal war in Ukraine and further constrain the Russian economy.
Suggested that if this amendment had been primary legislation, they would have tabled an amendment. Questioned whether it is better to do all scrutiny work on primary rather than secondary legislation to help the Government get it right first time.
Welcomed the Minister’s willingness to engage on issuing a general licence and suggested meetings at both official and ministerial levels with representatives of the Law Society to thrash out the exact detail and ensure accuracy.
Thanked the Minister for setting out sanctions measures against Russia, emphasising the need to support Ukraine until the war is won. Critiqued the delay in bringing forward new measures despite over 500 days of conflict. Asked about licences granted for legal services and their oversight by Ministers. Requested a list of exemptions granted under the sanctions regime to be sent to him. Raised concerns about potential loopholes exploited by third countries to avoid UK sanctions, particularly regarding product areas and legal services.
Neill welcomes the Minister's remarks and supports the policy objectives of the regulation but highlights the importance of getting the detail right. He expresses concern that the broad language of the regulations may have unintended effects, such as limiting UK-based international law firms from advising clients on divesting interests in Russia or navigating sanctions. He suggests aligning with US and EU counterparts to avoid overly restrictive measures. Neill outlines specific concerns about the prohibition of advice related to 'UK-prohibited activity' under new paragraph 8A(1)(a)(i) of schedule 3J, arguing that this could prevent British companies from getting legal advice on compliance with international sanctions regimes or other jurisdictions. He also mentions issues with the advice exception in regulation 60DB(3), which restricts lawyers to providing advice only on sanctions rather than broader legal risks. Neill emphasises the need for a general licence and detailed engagement with the Law Society to ensure that UK lawyers can play their full role in advising clients while preventing Russia from benefiting from its invasion of Ukraine.
The Scottish National party supports the principles of democracy, peace and the rule of law. They oppose Russia's invasion of Ukraine which is a breach of those principles. The UK Government should act faster to deliver necessary sanctions. Drew supports the regulations because they hold Russia accountable for its actions in Ukraine. The SNP also acknowledges the provision under section 68(1) of the Customs and Excise Management Act to ensure sanctions do not penalise innocent parties.
Commented on the Minister's remarks about international partners, specifically mentioning the Council of Europe's response to Russia's invasion. He supports the declaration signed at the Reykjavik summit and hopes that the UK will maintain contact with the Council for its expertise in dealing with Russia.
Supports the measure before the House but criticises some processes used to implement sanctions. Emphasised the importance of dealing not only with financial instruments but also individuals who enable others to bypass sanctions regimes. Praised John Howell's work in the Council of Europe.
Made an intervention, acknowledging Chris Bryant's comment about 'every decent lawyer' while highlighting the importance of the English legal system. Stressed that access to legal advice should be taken early to reduce risks of error or breach.
Government Response
The Minister committed to working closely with the legal sector and meeting the Law Society to address concerns. She also promised to consider amendments to the SI if necessary, in conjunction with the legal community. Responded positively to contributions made by other Members, acknowledging their points and committing to addressing questions raised. Emphasised the importance of restricting legal advisory services that facilitate border trade and investment with Russia, aiming to constrain Putin's war chest while ensuring access to justice is maintained.