EU to announce decision on confiscating frozen Russian assets within next two weeks – The Times

The Times reports that UK Prime Minister Keir Starmer believes an agreement on confiscating up to £100 billion in frozen Russian assets held in Europe to support Ukraine could be reached within days, noting that negotiations on ending the war have entered a critical phase.

According to the outlet, Starmer met on Monday with Ukrainian President Volodymyr Zelenskyy, French President Emmanuel Macron and German Chancellor Friedrich Merz to discuss US peace proposals. In addition to diplomatic issues, the leaders also focused on the possible confiscation of Russian funds frozen in European banks. These assets could be used either to finance Ukraine’s ongoing defence or to support post-war reconstruction once a peace agreement is reached.

Government sources cited by The Times expressed optimism that a deal is close and may be announced this week or next. The discussion includes roughly £8 billion held in accounts in the United Kingdom.

The newspaper notes that this potential funding is seen as a major leverage tool for Europe and Ukraine in peace talks being led by U.S. President Donald Trump. Access to the assets would provide Ukraine with a stable financial base for at least two more years of defence efforts, increasing pressure on Moscow at a time when European leaders worry about Vladimir Putin gaining an advantage. The assets are also viewed as one of the few instruments available to prevent any attempt by Washington to impose an unfavourable agreement on Kyiv.

Belgium, where the majority of frozen Russian assets are concentrated, continues to block the decision. The Belgian government argues that transferring the funds could expose the country to legal liabilities amounting to roughly one-third of its annual GDP. Despite this, UK officials remain confident that a breakthrough is possible.

Following the meeting between the leaders of the UK, Ukraine, France and Germany, sources said the parties discussed positive progress on using frozen Russian sovereign assets to support Ukraine’s reconstruction.

Zelenskyy's meeting with European leaders and debate on frozen Russian assets

After the meeting in Brussels, the UK government released a statement noting that the leaders agreed this is a critical moment, making it essential to maintain strong support for Ukraine and intensify economic pressure on Vladimir Putin to help end the war.

The EU continues to explore the possibility of providing Ukraine with a reparations loan backed by frozen Russian assets. However, with most of the assets located in Belgium, that country’s opposition, citing high risks and concerns about complications to the peace process, remains the main obstacle. Chancellor Merz visited Brussels last week in an attempt to persuade Belgian Prime Minister Bart De Wever to shift his position, but no change occurred.

On 8 December, G7 finance ministers issued a joint statement confirming that the group is prepared to consider the option of confiscating all frozen Russian assets to support a just peace in Ukraine.