UK bans Russian aviation, space companies from insurance market

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The British government will ban Russia from the UK aviation and space insurance market. 

In response to Russia’s invasion of Ukraine, the UK government has implemented sanctions blocking any Russian entity from accessing the services of UK-based insurance and reinsurance companies.   

In an official statement dated March 3, 2022, the UK government said that the move will “severely limit access to the global insurance and reinsurance market” as well as preventing Russian aviation and space companies from “making use of UK-based insurance or reinsurance services directly or indirectly”. 

“The UK Government will bring in legislation to prohibit UK-based insurance and reinsurance providers from undertaking financial transactions connected with a Russian entity or for use in Russia. Further details of the legislation will be available in due course. Coupled with similar actions by the EU, this move further isolates Russia’s economy from the international financial system,” the statement read, with the UK government adding that further details will be made public shortly.  

The UK government explained the recent move as its “commitment to apply severe economic sanctions” in the wake of Russia’s devastating attack on Ukraine, a country of more than 44 million people. 

The decision follows Britain’s sanctions on Russian-owned or controlled aircraft, including both private and commercial jets, preventing companies from flying into or crossing UK airspace, which was implemented on February 27, 2022.