Beautiful Virgin Islands

Thursday, Nov 20, 2025

Ministers accused of failing to stem flow of Russian ‘dirty money’ into UK

Ministers accused of failing to stem flow of Russian ‘dirty money’ into UK

Anti-corruption activists criticise government inaction in face of years of Kremlin provocation
Britain’s efforts to halt the flow of Russian “dirty money” into the UK have been called into question in the aftermath of a threat by the foreign secretary, Liz Truss, to hit Kremlin-linked oligarchs with economic sanctions if Ukraine is attacked.

Labour and anti-corruption campaigners this week accused the government of failing to curtail Russian wealth and influence in Britain, despite years of provocative actions from the Kremlin.

“We’ve seen Russia engage in assassinations and human rights abuses, annexations and invasions – but it has taken 100,000 Russian troops at the border to push Britain towards a change of policy,” said James Nixey, a director at the Chatham House thinktank, which recently published a paper on the UK’s kleptocracy problem.

Truss would not spell out who might be targeted, partly for legal reasons, but she told MPs it could include “those who own or control” companies that have economic or strategic significance to the Russian state.

Roman Borisovich, an anti-corruption campaigner, who runs “kleptocracy tours” highlighting Russian oligarch-owned properties in London, said Truss’s threat sent out the opposite signal. Because sanctions would come only in the event of an invasion, the implied message was, he said, “play nice, you are welcome to come with your stolen loot”.

As fortunes were made following the fall of the Soviet Union, Russian elites, who owe their wealth to an all-powerful Kremlin, have been eager to move money from home. So vast is the flight of capital it has been estimated that Russians hold as much as $1tn in wealth abroad, according to the Atlantic Council thinktank.

Transparency International, an anti-corruption watchdog, believes that 150 properties, mostly luxury mansions in Britain worth an estimated £1.5bn, are owned by Kremlin-linked Russians. More may be held by offshore companies, whose true ownership is hard to determine.

Politicians have benefited. Russian-born donors or individuals with business links to Russia have given nearly £2m to either the Conservative party or individual constituency associations since Boris Johnson took power in July 2019, according to Electoral Commission figures.

Checks were minimal in some cases. Seven hundred wealthy Russians were among those allowed to enter the UK on tier 1 investor visas between 2008 and 2015, a period when no state checks were carried out. All tier 1 visas granted in that period are now subject to a Home Office national security review, says the NGO Spotlight on Corruption.

Former insiders – from policing and Whitehall – complain about a lack of resources and, by implication, political will. “Proving the illicit nature of the funds often needs information from the source country, very hard in some cases,” said one. “The subjects are rich and will employ the legal system of this country to its fullest degree.”

Too many agencies are involved, a former senior security official added. “The British state has not put enough effort and money in tackling fraud across the board – illegal economic activity, dirty money. It’s too spread out between the National Crime Agency, the Serious Fraud Office, City of London police and even local forces.”

A week ago, Theodore Agnew, a former Lords Treasury minister, said one of the reasons for his resignation was that a proposed economic crime bill had been “foolishly rejected” for the next Queen’s speech by business managers. On Wednesday, in a U-turn, Johnson told MPs it would be put on the list.

“Contrary to some of the myths that are peddled, this government have come down very hard on dirty money from Russia and everywhere else,” the prime minister added, and highlighted recently introduced anti-corruption measures, such as unexplained wealth orders.

These orders were introduced in 2017 and intended to force politically exposed persons to explain the origins of the money, if they had bought an expensive property that appeared beyond their means. The property or asset could, in theory, be seized if no adequate explanation were provided.

The Home Office predicted that 20 orders would be issued every year. In fact, only four are known to have been issued in four years, and none since Boris Johnson took office, according toChatham House. No Russian has been targeted either.

The shadow foreign secretary, David Lammy, said British interests were being damaged. The Labour MP said: “The Conservatives’ inexplicable record of failure in stopping corrupt elites from Russia and other authoritarian regimes storing money in our country is weakening Britain’s security, harming our national interests and undermining our diplomacy.”

Such is the level of Russian influence in the UK, that the US is said to have become worried. Max Bergmann, a senior fellow at the Center for American Progress, a Joe Biden-aligned thinktank, told the Guardian he believed “there is clear concern in the US government about the influence of Russian money in the UK”.

A week earlier, Bergmann had written a widely picked up report into the Ukraine crisis, calling for the US to establish a joint kleptocracy working group with the UK “to prod stronger action” from the Conservative government.

This week, the White House said it was proceeding with it in tandem with the UK. Economic sanctions would focus on individuals “in or near the inner circles of the Kremlin”, an administration official said, should an invasion take place.

Lists of targets have been drawn up: a shortlist of eight by allies of the jailed opposition leader Alexei Navalny, which was debated in the UK parliament last year. A public list of 35 also appears in the Putin accountability bill, put forward by members of the US Congress last month.

But economic sanctions are unlikely to involve those who have gone on to make millions in donations to the Conservatives. None feature on the two lists – and it is unlikely the Tories would in effect admit money had been taken from people deemed too close to the Kremlin in the event of war.

Borisovich, meanwhile, told the Guardian he plans to restart his “kleptocracy tours” in London this spring, as the pandemic subsides. This time, he hopes there will be an extra twist. “I would like to extend an invitation to MPs from the foreign affairs select committee,” he said.
Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Wintry Conditions Persist Along UK Coasts After Up to Seven Centimetres of Snow
UK Inflation Eases to 3.6 % in October, Opening Door for Rate Cut
UK Accelerates Munitions Factory Build-Out to Reinforce Warfighting Readiness
UK Consumer Optimism Plunges Ahead of November Budget
A Decade of Innovation Stagnation at Apple: The Cook Era Critique
Caribbean Reparations Commission Seeks ‘Mutually Beneficial’ Justice from UK
EU Insists UK Must Contribute Financially for Access to Electricity Market and Broader Ties
UK to Outlaw Live-Event Ticket Resales Above Face Value
President Donald Trump Hosts Saudi Crown Prince Mohammed bin Salman at White House to Seal Major Defence and Investment Deals
German Entertainment Icons Alice and Ellen Kessler Die Together at Age 89
UK Unveils Sweeping Asylum Reforms with 20-Year Settlement Wait and Conditional Status
UK Orders Twitter Hacker to Repay £4.1 Million Following 2020 High-Profile Breach
Popeyes UK Eyes Century Mark as Fried-Chicken Chain Accelerates Roll-out
Two-thirds of UK nurses report working while unwell amid staffing crisis
Britain to Reform Human-Rights Laws in Sweeping Asylum Policy Overhaul
Nearly Half of Job Losses Under Labour Government Affect UK Youth
UK Chancellor Reeves Eyes High-Value Home Levy in Budget to Raise Tens of Billions
UK Urges Poland to Choose Swedish Submarines in Multi-Billion € Defence Bid
US Border Czar Tom Homan Declares UK No Longer a ‘Friend’ Amid Intelligence Rift
UK Announces Reversal of Income Tax Hike Plans Ahead of Budget
Starmer Faces Mounting Turmoil as Leaked Briefings Ignite Leadership Plot Rumours
UK Commentator Sami Hamdi Returns Home After US Visa Revocation and Detention
UK Eyes Denmark-Style Asylum Rules in Major Migration Shift
UK Signals Intelligence Freeze Amid US Maritime Drug-Strike Campaign
TikTok Awards UK & Ireland 2025 Celebrates Top Creators Including Max Klymenko as Creator of the Year
UK Growth Nearly Stalls at 0.1% in Q3 as Cyberattack Halts Car Production
Apple Denied Permission to Appeal UK App Store Ruling, Faces Over £1bn Liability
UK Chooses Wylfa for First Small Modular Reactors, Drawing Sharp U.S. Objection
Starmer Faces Growing Labour Backlash as Briefing Sparks Authority Crisis
Reform UK Withdraws from BBC Documentary Amid Legal Storm Over Trump Speech Edit
UK Prime Minister Attempts to Reassert Authority Amid Internal Labour Leadership Drama
UK Upholds Firm Rules on Stablecoins to Shield Financial System
Brussels Divided as UK-EU Reset Stalls Over Budget Access
Prince Harry’s Remembrance Day Essay Expresses Strong Regret at Leaving Britain
UK Unemployment Hits 5% as Wage Growth Slows, Paving Way for Bank of England Rate Cut
Starmer Warns of Resurgent Racism in UK Politics as He Vows Child-Poverty Reforms
UK Grocery Inflation Slows to 4.7% as Supermarkets Launch Pre-Christmas Promotions
UK Government Backs the BBC amid Editing Scandal and Trump Threat of Legal Action
UK Assessment Mis-Estimated Fallout From Palestine Action Ban, Records Reveal
UK Halts Intelligence Sharing with US Amid Lethal Boat-Strike Concerns
King Charles III Leads Britain in Remembrance Sunday Tribute to War Dead
UK Retail Sales Growth Slows as Households Hold Back Ahead of Black Friday and Budget
Shell Pulls Out of Two UK Floating Wind Projects Amid Renewables Retreat
Viagogo Hit With £15 Million Tax Bill After HMRC Transfer-Pricing Inquiry
Jaguar Land Rover Cyberattack Pinches UK GDP, Bank of England Says
UK and Germany Sound Alarm on Russian-Satellite Threat to Critical Infrastructure
Former Prince Andrew Faces U.S. Congressional Request for Testimony Amid Brexit of Royal Title
BBC Director-General Tim Davie and News CEO Deborah Turness Resign Amid Editing Controversy
Tom Cruise Arrives by Helicopter at UK Scientology Fundraiser Amid Local Protests
Prince Andrew and Sarah Ferguson Face Fresh UK Probes Amid Royal Fallout
×