Whilst the UK Government has stressed that current compliance requirements are being maintained and there is consensus that the UK’s approach towards the imposition of sanctions will not change radically, at least in the short term, the publication of new and wide-ranging statutory instruments under SAMLA to replace those made under the ECA has significant potential to alter settled practice surrounding UK sanctions compliance (including in the financial services sector).
Whilst the new statutory instruments carry over all of the existing European sanctions legislations implemented through the ECA[1], the effects are most likely to be felt in relation to those countries that are affected by the most complex and wide-ranging sanctions measures, such as (for example) Iran, Syria and North Korea. Some of the impacts affect how to approach sanctions screening and beneficial ownership checks and well as the scope of activities that are likely to be caught by UK sanctions.
This in-depth review sets out the differences between the previous and new positions which could have those impacts.
The review will be updated as additional statutory instruments are published under SAMLA, however it should provide companies with a helpful starting point in mapping out what impact Brexit will have on their sanctions and export control obligations, which in turn should inform how businesses prepare for an altered post-Brexit sanctions compliance environment.
Click here to download the UK Sanctions Statutory Instruments Review.
How we can help?
- Advising you on the areas of greatest discrepancy between the old legislation and the new and the likely impacts on your company’s sanctions compliance programme
- Updating sanctions compliance policies and procedures in anticipation of altered compliance obligations
- Provide training on the new legislation and its key areas of impact
- Advising on compliance with the new UK sanctions legislation
- Assisting in applying for licences under the new UK sanctions legislation to engage in activities otherwise prohibited under sanctions
- Investigating suspected non-compliance with UK sanctions and liaising with UK regulators on voluntary disclosures and other enforcement action resulting from suspected UK sanctions breaches
We are always on hand to assist and provide advice where needed – please do feel free to reach out if you have any questions or if you would like to talk through the consequences for your business.
Authored by Jamie Rogers, Ellie Rees, Sarah McQuillan and Niharika Parshurampuria.
[1] Afghanistan, Belarus, Bosnia & Herzegovina, Burundi, Central African Republic, Chemical Weapons, China, Cyber Attacks, Democratic Republic of the Congo, Egypt, Republic of Guinea, Global Human Rights, Guinea Bissau, Haiti, Iran (Human rights and WMD), Iraq, Lebanon, Libya, Mali, Moldova, Montenegro, Burma/Myanmar, Nicaragua, North Korea, Russia, Serbia, Somalia, South Sudan, Sudan, Syria, Terrorism (inc. ISIL), Tunisia, Turkey, Ukraine, United States, Venezuela, Yemen and Zimbabwe.
