On 20 May 2026, the UK Government brought into force a suite of new economic sanctions against Russia, pursuant to the Russia (Sanctions) (EU Exit) (Amendment) Regulations 2026. The new measures have been introduced as amendments to the principal UK-Russia sanctions regulation, the Russia (Sanctions) (EU Exit) Regulations 2019 (the “Regulations”).
This alert summarizes the key features of the new UK-Russia sanctions.
Third-Country Oil Products Produced From Russian Oil and Oil Products
The latest UK-Russia sanctions include a new Chapter 4IB to Part 5 of the Regulations, imposing restrictions on imports into the UK of oil products, falling within UK customs code 2710, that were processed in a third country from Russian-origin oil and oil products falling within UK customs code 2709. The new measures also restrict the provision of technical assistance, financing and financial assistance, and brokering services in relation to imports of the foregoing products.
These measures are similar to EU sanctions restrictions on third-country oil products produced from Russian oil that were introduced in European Council Regulation No. 833/2014 (Article 3ma) in July 2025.
In tandem with the new restrictions, the UK Government has issued a general licence permitting transactions concerning diesel and jet fuel.
LNG Maritime Services Restrictions
The new UK measures also introduce, at Chapter 4LA to Part 5 of the Regulations, a prohibition on the maritime transport of liquefied natural gas (falling within UK customs code 2711 11 00) that is of Russian origin or was consigned from Russia, together with associated restrictions on financial services, funding, and brokering services relating to those maritime services. In contrast to pre-existing UK sanctions restrictions concerning the maritime transport of Russian oil, the new UK LNG restrictions are not subject to a “price cap” mechanism through which LNG traded at below certain monetary thresholds are exempt from the UK prohibitions.
The UK Government has issued a general licence, which expires on 1 January 2027, permitting transactions pursuant to contracts of one year or less and involving Russian LNG originating at the Russian Sakhalin-2 or Yamal LNG terminals. In that regard, the UK has taken a similar approach as the EU LNG services restrictions recently implemented in the EU 20th sanctions package (described in our recent client alert available at the following link), the full scope of which enter into force on 1 January 2027.
The Regulations also include an exemption, at Regulation 60L, permitting certain activities required pursuant to contracts executed prior to 17 June 2025, and certain activities relating to derivatives trading.
Uranium Restrictions
Chapter 4KA to Part 5 of the Regulations includes new prohibitions on importing, acquiring, supplying or delivering uranium from Russia. The new measures include parallel restrictions on the provision of technical assistance, financial services or funds, or brokering services in relation to any of the foregoing categories of transactions.
Regulation 60K introduces limited exemptions for certain activities covered under the new restrictions.
Additional Measures
- Export controls and services restrictions. Various new export controls, and associated services restrictions, have been imposed with regard to a broad range of goods, software, and technology, including – among other products – certain chemicals used in microchip production, quantum computing and related goods, and goods related to biology engineering). Certain of these new restrictions are subject to wind-down exemptions.
- Vessel-related restrictions. Amendments to various provisions of the Regulations impose new restrictions on acquisitions of certain sanctioned vessels and aircraft, and the provision of various types of services in relation to sanctioned vessels.
- Construction services restrictions. The UK professional services sanctions, set out in Regulations 54B and 54C, have been expanded to include a new restriction on the provision of construction services to Russian person or entities. This prohibition is subject to a wind-down exemption allowing, until 20 August 2026 (and subject to notification requirements), the carrying out of obligations under contracts executed prior to 20 May 2026.
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We are closely monitoring developments concerning the U.S., UK, and EU sanctions against Russia, and will issue further updates in the event of material developments. In the meantime, we would be happy to address any questions you may have.
Covington’s International Trade Controls team—which includes lawyers in the firm’s offices in the United States, London, Brussels, and Frankfurt—regularly advises clients across business sectors, and is well-placed to provide support in connection with the evolving Russia sanctions and export controls. Our trade controls lawyers also work regularly with Covington's Global Public Policy team—consisting of over 120 former diplomats and policymakers in the United States, Europe, the Middle East, Latin America, Africa, and Asia—many of whom have had substantial government experience in sanctions and export controls matters, and who regularly advise our clients on emerging sanctions policy matters and related engagements with government stakeholders. Moreover, as the Ukraine crisis continues to unfold, Covington is exceptionally well-positioned to assist clients in navigating their most complex challenges, drawing on the multidisciplinary capabilities of additional practices in areas such as international arbitration and disputes, cybersecurity, anti-money laundering, insurance, and corporate restructuring.
If you have any questions concerning the material discussed in this client alert, please contact the following members of our International Trade Controls or International Dispute Resolution practice.
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