Britain eases Russian fuel sanctions

Britain changed its Russia sanctions regime on May 20 by issuing a trade licence that allows imports of jet fuel and diesel refined in third countries from Russian crude, according to UK government guidance and the amended regulations. The licence is of “indefinite duration” and will be reviewed periodically, the Department for Business and Trade said. European Economy Commissioner Valdis Dombrovskis said this week the move “came as a surprise” to Brussels and had not been discussed at the G7 finance ministers’ meeting in Paris on May 18-19. ### What exactly did Britain change? The Russia (Sanctions) (EU Exit) (Amendment) Regulations 2026 came into force on May 20 and added a new ban on importing oil products processed in a third country using Russian crude, according to the UK legislation. At the same time, the British government published guidance and a trade licence creating an exemption for certain products, including jet fuel and diesel, refined outside Russia from Russian-origin crude. (gov.uk) GOV.UK said the licence took effect on May 20 and is of indefinite duration. The guidance says the exemption applies within the new third-country processed oil product measures introduced by the 2026 regulations. ### Why did London carve out jet fuel and diesel? (legislation.gov.uk) Britain linked the move to fuel market stress after the Middle East conflict disrupted energy flows and pushed up prices, according to reporting by Reuters, Bloomberg and other outlets citing the government’s position. Those reports said the carve-out was intended to reduce the risk of shortages of diesel and jet fuel. (gov.uk) The UK’s published guidance does not frame the licence as a broad rollback of sanctions. Instead, it presents the measure as part of a wider package that also tightened other trade restrictions, including new prohibitions covering refined oil products made from Russian crude and uranium originating in or consigned from Russia. (internazionale.it) ### What did Dombrovskis say in Paris? Valdis Dombrovskis told reporters in Paris on May 19 that the waiver extension showed G7 countries “do not agree on everything,” according to Reuters. He said the British decision had not been raised during the G7 finance ministers’ discussions and described it as one of the topics on which allies were “not always 100% aligned.” (legislation.gov.uk) Politico reported on May 21 that Dombrovskis said the UK move “came as a surprise” during a press conference after the Paris meeting. The G7 communiqué published by the Council of the European Union said ministers met in Paris on May 18 and 19, but it did not mention the British fuel-sanctions carve-out. (internazionale.it) ### How does this compare with the EU’s own line on Russian energy? The European Commission said in April that the EU’s 20th package of sanctions included a strong anti-circumvention element and robust energy measures. Separate Commission material on REPowerEU says the bloc is pursuing a phaseout of Russian energy imports. (politico.eu) That leaves Britain’s licence as a narrower national measure inside a broader Western sanctions framework that still officially aims to restrict Russian energy revenues. Dombrovskis’ remarks in Paris were the clearest public sign this week that Brussels was dissatisfied with how the UK handled the change. (finance.ec.europa.eu) ### Where can readers check the primary documents? The UK legislation is published as the Russia (Sanctions) (EU Exit) (Amendment) Regulations 2026 on legislation.gov.uk. The Department for Business and Trade has also published the operative guidance on third-country processed oil product measures on GOV.UK, including the statement that the licence began on May 20 and will be periodically reviewed. (internazionale.it) The most immediate next reference point is any further UK update to that trade licence or guidance, while EU officials’ next public venue on sanctions coordination is likely to come through Commission briefings and future G7 or EU finance meetings. (gov.uk) (legislation.gov.uk)