UK opens unit to monitor compliance with trade sanctions against Russia

Since Russia’s invasion of Ukraine in 2022, the UK has imposed sanctions totaling more than $26 billion, and this new unit, called the Office for the Enforcement of Trade Sanctions (OTSI), will assist companies in complying with these measures.

Business and Trade Secretary Jonathan Reynolds said that OTSI will play a key role in ensuring sanctions compliance and, if necessary, will take decisive action against violators.

"This new unit will help ensure businesses comply with trade sanctions and take decisive enforcement action where needed so that, together with business, we can continue to exert maximum pressure on Putin's regime," the secretary said.

OTSI will have the authority to impose fines on companies that breach sanctions and publicly disclose information about such violations. In addition, the new unit will oversee compliance with sanctions in the field of professional and business services, while the control over the export and import of goods will remain with existing bodies.

A significant innovation is that OTSI will be able to investigate actions by British citizens who violate sanctions, even if they work in third countries, expanding the scope of the UK’s sanctions regime.

Sanctions against Russia

Recently, the UK imposed sanctions on Russia’s Radiation, Chemical, and Biological Defense Troops and their head, Igor Kirillov, for the use of chemical weapons in Ukraine.

Also, for the first time, Britain has sanctioned ships of Russia’s "shadow fleet," which it believes the Russian regime uses to circumvent Western oil export restrictions.

As part of its sanctions regime, the UK has added 11 vessels, including the Zatoka Amurska and the SCF Pechora. These ships are involved in transporting oil and petroleum products from Russia to third countries.