UK FM Liz Truss ponders seizing Russian assets in the nation and distribute it to Ukraine

British Foreign Secretary Liz Truss has stated that the UK wants to follow Canada's lead and seize the assets of Russians living there so that they can be given to Ukraine. This comes right before the foreign secretary is scheduled to address a conference on Ukraine reconstruction in Lugano, Switzerland, on July 4.

Most of Ukraine's senior political leadership are expected to attend in person or virtually. The Russian invasion of Ukraine is believed to have destroyed more than 120,000 homes, necessitating the need for billions of dollars in income to rebuild the nation's economy and transform it into one that is competitive with that of Europe.

Truss stated said during a press briefing, “I am supportive of the concept. We are looking at it very closely. The Canadians have in fact just passed legislation This is an issue that we are working on jointly with the Home Office and the Treasury, but I certainly agree with the concept. We just need to get the specifics of it right.”

The British Foreign Secretary told MPs last week that she supported the idea of the government seizing frozen Russian assets in the UK and redistributing them to victims of Russia's war in Ukraine. She stated that the initiative would "most likely" require legislation.

The seized funds could be distributed to the Ukrainian government or to individuals as reparations. Currently, the UK can suspend Russian assets for 56 days under the Economic Crime Act and then roll the suspension over for another 56 days, The Guardian reported. During that time, the owner of the asset cannot benefit from it in any way, the report added.

UK MoD claims Russia shifting focus to Donetsk after Luhansk

The Donetsk region of eastern Ukraine is now the focus of Russian President Vladimir Putin's forces after they took control of the Luhansk region, the UK asserted on July 4. Ukrainian forces are now probably retreating from Lysychansk to prepare defensive positions, according to the UK defence chiefs' intelligence update on July 4 morning.

Russia had earlier claimed complete control of the crucial strategic city. Russia has centred its military operations on the industrial heartland of the Donbass, which includes the Luhansk and Donetsk regions, where Moscow-backed separatist proxies have been fighting Ukraine since 2014. 

Image: AP