Northumberland MP backs plans to crack down on Russian dirty money

Further to the commitments announced by the Prime Minister last week, the Government has brought forward key measures as part of the response to Russia’s invasion of Ukraine.

The Economic Crime (Transparency and Enforcement) Bill has cross-party support to pass this legislation as quickly as possible to help prevent foreign owners from laundering their money through the UK property market and ensure more corrupt elites can be handed an Unexplained Wealth Order.

The Bill has three key components.

The first component is the introduction of a Register of Overseas Entities. The Register of Overseas Entities provisions of the legislation will require anonymous foreign owners of UK property to reveal their real identities to help address risks of money laundering through our property market.

The second component is changes to the Unexplained Wealth Order powers, which will enable UK law enforcement agencies to take more effective action against corrupt elites and criminals, compelling them to prove the origins of their funds in the UK.

Thirdly, the Bill will be introducing changes to the current sanctions regime to enhance financial sanctions enforcement.

Speaking of the new legislation, the Secretary of State for International Trade said: “We’ve put in place the largest and most severe package of sanctions ever imposed on Russia or indeed any major economy.

"These sanctions deal a severe blow to the Russian economy, hobbling Russia’s military-industrial complex, and personally damaging Putin’s inner circle of corrupt oligarchs.

"We are already sanctioning over 100 companies and oligarchs, worth hundreds of billions of pounds. We are freezing all their assets in the UK and preventing any UK entities from engaging with these organisations and individuals in the UK or overseas.

“This new Bill will give the UK even more tools to ensure Putin’s cronies cannot hide their ill-gotten gains in the UK. The new Register will apply retrospectively to property bought up to 20 years ago. Those supporting Putin’s illegal war have been put on notice.”