Ukraine invasion: UK government urged to speed up oligarch asset seizures

Labour has said there is "no excuse" for the government not to quickly seize the UK assets of Russian oligarchs following the invasion of Ukraine.

Shadow foreign secretary David Lammy said the UK was failing to keep pace with the US and EU in imposing sanctions on allies of Vladmir Putin.

France and Germany have seized two super yachts belonging to oligarchs.

But Downing Street said UK assets could not be confiscated until there was a "legally sound" case for doing so.

Since Russia invaded Ukraine last week, the government has frozen the bank accounts of some wealthy individuals, including Mr Putin and some of those linked to him.

But Labour says sanctions must go further, with items like jewellery, designer clothes, cars and property being seized.

And Conservative MP Tom Tugendhat, the chairman of the Commons Foreign Affairs Committee, said: "We should be looking immediately to seize those assets linked to those who are profiting from Putin's war machine, holding it in trust and returning it to the Russian people as soon as possible."

However, a government source told the PA news agency it could take "weeks and months" to build legal cases for confiscation.

Downing Street later sought to distance itself from the comment, with the prime minister's official spokesman insisting: "We are not being held back from introducing sanctions."

"When it comes to individuals, it is the case that we need to do the preparatory work, the requisite work, to make sure it is legally sound before introduction," he added.

The authorities in France and Germany have seized super yachts owned by Russian tycoons Igor Sechin and Alisher Usmanov.

Mr Lammy said the UK's sanctions regime against individuals must "catch up with [those of] our allies and partners", adding: "The government must get a grip on this by cutting Putin and those linked to his rogue regime out of our economic system as fast as possible.

"Ministers had months to prepare for this eventuality, with the full support of Parliament, and there is no excuse for their failure to introduce strong enough laws in the first place."

At Prime Minister's Questions on Wednesday, Labour leader Sir Keir Starmer said billionaire Roman Abramovich, who owns Chelsea Football Club, should face sanctions and accused Mr Johnson of being slow to target individuals who "prop up" Mr Putin's regime.

But a spokesman for Mr Abramovich, who has previously denied having close financial ties with the Russian president or the Kremlin, and who is now selling the football club, said he had done nothing sanctionable.

On Wednesday, Boris Johnson promised to publish a list of oligarchs with "ill-gotten Russian loot", but did not specify when this would happen.

The government's Economic Crime Bill will be debated in detail by MPs next week, with Labour saying it will help fast track the legislation.

Among other measures, it will force anonymous foreign owners of UK property to reveal their identities to prevent criminals hiding behind secretive shell companies.

But the measure will not come into effect for existing property owners for 18 months after it becomes law, which Labour says will give those targeted plenty of time to hide their assets.

The government has said it will shorten this "grace period" but not by how much, when MPs debate it on Monday.

But Labour says this "vague" promise is not enough, and it should be shortened to 28 days.

"We cannot give oligarchs a head start. Dirty Russian money must be taken out of the UK in days, not months," said shadow business secretary Jonathan Reynolds.