UK Eases Russian Oil Sanctions Amid Middle East Fuel Crisis

The British government on Wednesday announced a relaxation of sanctions on imports of Russian jet fuel and diesel refined in third countries, as fuel prices continue to surge amid the ongoing Middle East conflict.

According to the Department for Business and Trade, the new trade licence took effect immediately and is of indefinite duration, although officials said it would be reviewed periodically.

Under the revised arrangement, the UK can now import Russian crude oil that has been processed in countries such as India.

Authorities also introduced a temporary licence easing restrictions on liquefied natural gas linked to certain Russian facilities.

Britain had imposed sweeping sanctions on Russia after its 2022 invasion of Ukraine, targeting oil exports alongside more than 3,000 Russian individuals and companies.

The move comes shortly after the United States extended a sanctions waiver for Russian oil shipments already in transit. The waiver, renewed on Monday for a second time, followed mounting pressure on global energy supplies caused by the war involving Iran and the resulting spike in oil prices.

At a meeting of G7 finance ministers on Tuesday, the European Union criticised Washington’s decision to continue the waiver, with the UK participating in the discussions.

EU economics commissioner Valdis Dombrovskis argued that it was not the moment to “ease pressure on Russia”.

Defending the UK’s position, Treasury minister Dan Tomlinson said the decision was necessary to safeguard national interests.

“The government announced yesterday this time-limited change to the rules around oil and refining, given the extremes of the impacts of the conflict in Iran, and the impact of it washing up on our shores,” Tomlinson told Sky News.

Tensions in global energy markets intensified after Iran, responding to US-Israeli strikes launched in February, effectively closed the Strait of Hormuz. Although movement through the crucial shipping route has gradually improved during a ceasefire, supply concerns persist.

Meanwhile, opposition Conservative Party leader Kemi Badenoch criticised the policy shift.

“After 18 months of ‘standing up to Putin’, the Labour govt quietly issued a licence allowing imports of Russian oil refined in third countries,” Badenoch wrote on X.