UK Prime Minister Keir Starmer has warned Russian oligarch Roman Abramovich to release £2.5bn from the sale of Chelsea Football Club for victims of the war in Ukraine or face legal action.
Abramovich pledged in 2022 that the proceeds from the sale would be used to support victims of Russia’s invasion of Ukraine. However, the funds have remained frozen in a UK bank account amid disagreements over how the money should be allocated.
The UK government insists the money must be used exclusively for humanitarian assistance in Ukraine. Abramovich, however, has argued that the funds should benefit “all victims of the war,” a position that could potentially include Russians.
According to a BBC report on Wednesday, Starmer told the House of Commons that the UK had already issued a licence permitting the transfer of the £2.5bn, but warned that legal steps would be taken if Abramovich failed to fulfil his pledge.
“My message to Abramovich is clear: the clock is ticking,” Starmer said. “Honour the commitment you made and release the funds now, or we are prepared to take this to court.”
Foreign Secretary Yvette Cooper echoed the warning, urging Abramovich to honour his commitment and release the money. She confirmed that the government would pursue legal action if required, while cautioning that court proceedings could further delay the release of the funds.
Under the terms of the Treasury licence, the money must be used strictly for humanitarian purposes in Ukraine and must not benefit Abramovich or any other sanctioned individual.
Abramovich, who built his wealth in the oil and gas sector, was granted a special licence to sell Chelsea following Russia’s invasion of Ukraine on the condition that he would not profit from the sale. He has denied claims of close ties to Russian President Vladimir Putin.
Sources say Abramovich has 90 days to comply before the UK considers legal action. His representatives have declined to comment.
The standoff comes as European Union leaders prepare to review proposals to channel proceeds from frozen Russian assets towards Ukraine’s budgetary and defence needs, a move strongly opposed by Russia.
