The Sanctions (EU Exit) (Miscellaneous Amendments) (No. 2) Regulations 2024

For non-UN designated persons, the Regulations also change the scope of the licensing purposes, to enable the Treasury to license a wider class of case related to the implementation of judicial decisions (see regulation 2(12)(b)); and to introduce a bespoke purpose to enable licensing for certain insolvency positions (see regulation 2(12)(c)).

The Regulations amend the Democratic People’s Republic of Korea (Sanctions) (EU Exit) Regulations 2019 (S.I. 2019/411) to move the existing land prohibitions from Part 4 (Finance) to Part 6 (Trade) (see regulation 3(4) to (6)). The competent enforcement authorities for those prohibitions in that regime are the Department for Business and Trade (civil) and His Majesty’s Revenue and Customs (criminal).

The Regulations make some additional amendments to the Russia Regulations.

They clarify for the purposes of the trust services prohibition in regulation 18C of the Russia Regulations that acting as a nominee shareholder where that involves a trust or similar arrangement is to be considered a prohibited trust service (see regulation 15(4)).

They make minor amendments to clarify the reporting requirements that apply to the funds or economic resources of persons to whom financial services must not be provided by virtue of regulation 18A of the Russia Regulations (see regulation 15(10)(b)).

They create new civil monetary penalty powers for the Treasury in respect of prohibitions in the Russia Regulations relating to land located in non-government controlled Ukrainian territory or in Russia (see regulation 15(15))

The Regulations also amend the Trade, Aircraft and Shipping Sanctions (Civil Enforcement) Regulations 2024 (S.I. 2024/948) to include land prohibitions contained within the Russia Regulations in the definition of “excluded trade sanctions regulations”. These will be enforced by the Treasury.

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sectors is foreseen.

Footnotes

[^f00001]: The power to make regulations under Part 1 of the Sanctions and Anti-Money Laundering Act 2018 (c. 13) is conferred on an appropriate Minister. Section 1(9)(a) of the Act defines an “appropriate Minister” as including the Secretary of State.

[^f00002]: 2018 c. 13. Sections 1(5) and 15 are amended by the Economic Crime and Corporate Transparency Act 2023 (c. 56) (“the 2023 Act”), section 35(2) and (5). Section 16(1)(a) is amended by the Economic Crime (Transparency and Enforcement) Act 2022 (c. 10) (“the 2022 Act”), section 65. Section 17(5)(b)(i) is amended by the Sentencing Act 2020 (c. 17), Schedule 24, paragraph 443(1). Section 17(9)(a) is amended by the 2023 Act, section 214(3). Section 17A was inserted by the 2023 Act, section 214(4). Sections 1 and 45 are amended by the 2022 Act, sections 57 and 62.

[^f00003]: S.I. 2019/135, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/590, 2020/951, 2022/500, 2022/818, 2023/149, 2024/643.

[^f00004]: 2000 c. 8; section 213 was amended by the Banking Act 2009 (c. 1), section 170(2); by the Financial Services Act 2012 (c. 21), Schedule 10, paragraph 3; by the Financial Services Act 2021 (c. 22), Schedule 8, paragraph 7; and by S.I. 2017/701, 2018/1149 and 2022/466.

[^f00005]: A company registered in England and Wales with number 02486368.

[^f00006]: 2006 asp 17.

[^f00007]: 2018 c. 13; section 54(6)(e) was amended by S.I. 2023/1424.

[^f00008]: Section 79 was amended by the Financial Services Act 2012, section 16(2) and (3)(a); and by S.I. 2005/1433 and 2024/105.

[^f00009]: Section 81 was amended by the Financial Services Act 2012, section 16(2) and (3)(a).

[^f00010]: 1988 c. 41.

[^f00011]: S.I. 1977/2157 (N.I. 28). Section 1(4) of the Departments Act (Northern Ireland) 2016 (c. 5) renamed the Department of Finance and Personnel (as referenced in the 1977 Order) the Department of Finance.

[^f00012]: 1975 c. 30.

[^f00013]: 1988 c. 41.

[^f00014]: 1992 c. 14.

[^f00015]: 2003 c. 26.

[^f00016]: 2009 c. 7.

[^f00017]: 2013 c. 5 (N.I.).

[^f00018]: 2006 c. 46.

[^f00019]: 1994 c. 39; section 2 was amended by paragraph 232(1) of Schedule 22 to the Environment Act 1995 (c. 25).

[^f00020]: Section 89P was inserted by the Financial Services Act 2012, section 19(1).

[^f00021]: EUR 2017/1129. Regulation (EU) 2017/1129 is revoked by section 1(1) of the Financial Services and Markets Act 2023 (c. 29) (not yet fully in force).

[^f00022]: Section 73A was inserted by S.I. 2005/381; subsection (4) was added by S.I. 2005/1433 and is repealed by S.I. 2024/105 (not yet fully in force).

[^f00023]: Section 212 was amended by the Financial Services Act 2012, Schedule 10, paragraph 2, the Financial Services (Banking Reform) Act 2013 (c. 33), section 16, and the Financial Services and Markets Act 2023, section 62(2).

[^f00024]: Section 88 was amended by the Financial Services Act 2012, section 16(2) and (3)(f).

[^f00025]: S.I. 2017/692; relevant amending instruments are S.I. 2019/1511 and 2020/991.

[^f00026]: 1994 c. 23; section 21(6) was originally inserted by the Finance Act 1995 (c. 4); subsections (6) to (6B) were inserted by section 12(2) of the Finance Act 1999 (c. 16).

[^f00027]: 1986 c. 45; section 388 was amended by the Bankruptcy (Scotland) Act 1993 (c. 6), section 11(1); by the Insolvency Act 2000 (c. 39), section 4(2); by the Deregulation Act 2015 (c. 20), Schedule 6, paragraph 2(11)(f); by the Corporate Insolvency and Governance Act 2020 (c. 12), Schedule 3, paragraph 21; and by S.I. 1994/2421, 2002/1240, 2002/2708, 2009/1941, 2016/1034 and 2019/146.

[^f00028]: S.I. 1989/2405 (N.I. 19). Article 3 was amended by the Insolvency (Amendment) Act (Northern Ireland) 2016 (c. 2) (N.I.), Schedule 4; by the Corporate Insolvency and Governance Act 2020 (c. 12), Schedule 7, paragraph 4; by S.R. 1995/225, 2002/334 and 2003/550; by S.I. 2002/3152 (N.I. 6); and by S.I. 2009/1941 and 2019/146.

[^f00029]: “Sanctions regulations” has the meaning given in section 1(5) of the Sanctions and Anti-Money Laundering Act 2018; section 1(5) was amended by the Economic Crime and Corporate Transparency Act 2023, section 35(2).

[^f00030]: 1986 c. 45; Part A1 was inserted by the Corporate Insolvency and Governance Act 2020, section 1(1).

[^f00031]: S.I. 1989/2405 (N.I. 19); Part 1A was inserted by the Corporate Insolvency and Governance Act 2020, section 4(1).

[^f00032]: Part 26A was inserted by the Corporate Insolvency and Governance Act 2020, Schedule 9, paragraph 1.

[^f00033]: 2016 asp 21.

[^f00034]: 2000 c. 8; section 367 was amended by the Financial Services Act 2012, Schedule 14, paragraph 14; by the Financial Services and Markets Act 2023 (c. 29), section 1(1), Schedule 1, Part 4 (to be appointed); and by S.I. 2015/575. Sections 377A to 377J were inserted by the Financial Services and Markets Act 2023, Schedule 12, paragraph 1(4). Schedule 19C was inserted by the Financial Services and Markets Act 2023, Schedule 13, paragraph 1(3).

[^f00035]: S.I. 2005/1998.

[^f00036]: 2009 c. 1.

[^f00037]: A “building society” is defined in section 119(1) of the Building Societies Act 1986 (c. 53).

[^f00038]: 1986 c. 53. Section 90C was inserted by S.I. 2009/805.

[^f00039]: S.I. 2011/245.

[^f00040]: 2013 c. 33.

[^f00041]: S.I. 2021/716.

[^f00042]: 2023 c. 29.

[^f00043]: Schedule B1 was inserted by the Enterprise Act 2002 (c. 40), Schedule 16.

[^f00044]: Schedule B1 was inserted by S.I. 2005/1455 (N.I. 10).

[^f00045]: S.I. 2019/411, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2019/843, 2020/591, 2020/950, 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00046]: S.I. 2019/433, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/591, 2020/950, 2021/1041, 2022/500, 2022/819, 2022/1236, 2023/121, 2023/149, 2024/644.

[^f00047]: S.I. 2019/438, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2019/1236, 2020/591, 2020/950, 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00048]: S.I. 2019/461, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2019/843, 2020/591, 2020/950, 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00049]: S.I. 2019/466, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2019/843, 2020/591, 2020/950, 2020/1289, 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00050]: S.I. 2019/554, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/590, 2020/951, 2022/500, 2022/818, 2023/149, 2024/643.

[^f00051]: S.I. 2019/573, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2019/843, 2020/591, 2020/950, 2020/1289, 2022/500, 2022/819, 2023/149, 2024/644, 2024/946.

[^f00052]: S.I. 2019/577, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/950, 2020/1289, 2022/500, 2022/819, 2023/149, 2024/644, 2024/946.

[^f00053]: S.I. 2019/600, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/590, 2020/951, 2021/1146, 2022/500, 2022/748, 2022/818, 2023/149, 2023/616, 2024/643.

[^f00054]: S.I. 2019/604, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/590, 2020/951, 2022/500, 2022/818, 2023/149, 2024/643.

[^f00055]: S.I. 2019/618, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/590, 2020/951, 2022/500, 2022/818, 2023/149, 2024/643.

[^f00056]: S.I. 2019/792, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/590, 2020/951, 2022/500, 2022/818, 2023/149, 2024/643, 2024/833.

[^f00057]: S.I. 2019/855, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/590, 2020/951, 2022/123, 2022/194, 2022/195, 2022/203, 2022/205, 2022/241, 2022/395, 2022/452, 2022/477, 2022/500, 2022/792, 2022/801, 2022/814, 2022/818, 2022/850, 2022/1110, 2022/1122, 2022/1331, 2023/149, 2023/440, 2023/665, 2023/713, 2023/1364, 2023/1367, 2024/218, 2024/643, 2024/834, 2024/900.

[^f00058]: S.I. 2019/1145, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/590, 2020/951, 2022/500, 2022/818, 2023/149, 2024/643.

[^f00059]: S.I. 2020/597, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/951, 2022/500, 2022/818, 2023/149, 2024/643.

[^f00060]: S.I. 2020/608, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/951, 2022/500, 2022/818, 2023/149, 2024/643.

[^f00061]: S.I. 2020/610, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/951, 2022/500, 2022/818, 2023/149, 2024/643.

[^f00062]: S.I. 2020/612, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/950, 2022/500, 2023/149.

[^f00063]: S.I. 2020/616, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/950, 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00064]: S.I. 2020/617, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/950, 2022/819, 2023/121.

[^f00065]: S.I. 2020/642, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2020/950, 2021/823, 2022/500, 2022/819, 2023/121, 2023/149, 2024/609, 2024/644.

[^f00066]: S.I. 2020/680, amended by the Sentencing Act 2020, Schedule 24, paragraph 446(1); and by S.I. 2022/500, 2022/818, 2023/149, 2024/643.

[^f00067]: S.I. 2020/705, amended by S.I. 2020/1397, 2022/500, 2022/819, 2023/121, 2023/149, 2024/644, 2024/946.

[^f00068]: S.I. 2020/707, amended by S.I. 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00069]: S.I. 2020/753, amended by S.I. 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00070]: S.I. 2020/948, amended by S.I. 2020/1397, 2022/500, 2022/819, 2023/149, 2024/644.

[^f00071]: S.I. 2020/1278, amended by S.I. 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00072]: S.I. 2020/1474, amended by S.I. 2022/500, 2022/818, 2023/149, 2024/643.

[^f00073]: S.I. 2020/1665, amended by S.I. 2022/500, 2022/819, 2023/121, 2023/149, 2024/644.

[^f00074]: S.I. 2021/488, amended by S.I. 2022/500, 2022/818, 2023/149, 2024/643.

[^f00075]: S.I. 2021/496, amended by S.I. 2022/500, 2022/818, 2023/149, 2024/643.

[^f00076]: S.I. 2022/1281, as amended by S.I. 2023/121, 2023/1320, 2024/178.

[^f00077]: S.I. 2023/1314 and 2024/944.

[^f00078]: S.I. 2024/948.