OpenLegislation

Explanatory note

Original text. Later amendments are not shown.

(This note is not part of the Regulations)

These Regulations are made under the Sanctions and Anti-Money Laundering Act 2018 (c. 13). Regulations 3 to 29 amend the Russia (Sanctions) (EU Exit) Regulations 2019 (S.I. 2019/855) (“the 2019 Regulations”). Regulation 30 amends the Trade, Aircraft and Shipping Sanctions (Civil Enforcement) Regulations 2024 (S.I. 2024/948) (“the TASSCE Regulations”).

These Regulations amend Part 5 (Trade), and associated Schedules, of the 2019 Regulations to impose new trade sanctions—

  1. (i)

    in relation to the provision and procurement of services relating to specified ships (regulation 7);

  2. (ii)

    in relation to the import and provision of ancillary services relating to relevant processed oil products (regulation 8);

  3. (iii)

    in relation to the import, acquisition, supply and delivery and provision of ancillary services relating to uranium (regulation 9);

  4. (iv)

    in relation to the maritime transportation and provision of ancillary services relating to liquefied natural gas (regulation 10);

  5. (v)

    in relation to the acquisition of a detained transport asset (regulation 11). Consequential amendments are made at regulations regulation 3 and 4. Regulation 5 amends regulation 5 of the 2019 Regulations to specify the prohibition on acquisition of a detained transport asset as a purpose for which a person may be designated;

  6. (vi)

    in relation to the provision of construction services (regulation 12);

  7. (vii)

    to add additional goods to Schedule 2A (critical industry goods and critical industry technology) (regulation 29);

  8. (viii)

    to add additional goods to Schedule 2E (quantum computing and advanced materials technology) (regulation 29);

  9. (ix)

    to add additional goods to Schedule 3C (defence and security goods and defence and security technology) (regulations 6 and 29);

  10. (x)

    to add additional goods to Schedule 3E (G7 dependency and further goods and G7 dependency and further technology) (regulation 29).

Regulations 13 to 15 amend Part 6 (Ships) of the 2019 Regulations to impose new shipping sanctions in relation to specified ships, to specify the new trade and shipping sanctions as purposes for which a ship may be specified and to specify additional relevant activities a ship may be involved in. Consequential amendments are made at regulations regulation 3 and 4.

Regulations 16 to 19 create exceptions to the prohibitions introduced. Regulations 20 to 22 make provision for licences and regulation 23 creates licensing offences. Regulations 25 to 28 make provision for the enforcement of the new prohibitions. Regulation 24 contains consequential amendments to information powers.

Regulation 29 also amends Schedules to the 2019 Regulations to correct commodity codes and descriptions, omit commodity codes that have been replaced at a higher level and introduce definitions relating to the uranium and construction services prohibitions.

Regulation 30 amends the TASSCE Regulations to carve offences related to the acquisition of a detained transport asset out from CEMA enforcement and to bring ship licensing offences and certain offences related to the acquisition of a detained transport asset within scope of the investigatory powers in Chapter 1 of Part 2 of the Serious Organised Crime and Police Act 2005 (c. 15).

A full impact assessment of the effect that this instrument will have on the costs of business, the voluntary sector and the public sector is available from the Foreign, Commonwealth and Development Office, King Charles Street, London, SW1A 2AH.