Ukraine ally Britain eases sanctions on Russian oil as fuel prices surge over Iran conflict

LONDON – In an unannounced policy shift aimed at insulating British households from skyrocketing living costs driven by the closure of the Strait of Hormuz, the British government has relaxed key sanctions targeting Russian crude oil, official documents confirm. A new trade authorization that went into force Wednesday explicitly allows imports of Russian-origin oil that has been processed into jet fuel and diesel in third-party countries including India and Turkey, a carve-out not permitted under the original sanctions regime implemented after Russia’s 2022 full-scale invasion of Ukraine.

The policy change comes amid a global energy market upheaval triggered by Iran’s closure of the Strait of Hormuz, a critical maritime chokepoint that typically carries roughly 20% of the world’s daily oil supplies. The closure, which followed the escalation of U.S.-Israeli military action against Iran, has sent global fuel prices into a sharp upward spiral and stoked widespread fears of imminent jet fuel shortages across Europe, including the U.K.

U.K. Treasury officials have framed the adjustment as a narrow, temporary measure. “These changes are for a time limited period and on a very specific issue,” said Treasury minister Dan Tomlinson, emphasizing that the government’s broader commitment to harsh sanctions on Moscow remains unchanged. Britain has positioned itself as one of Ukraine’s most steadfast military and political allies since the 2022 invasion, and the government continues to assert that its Russia sanctions are among the strictest enforced by any Western economy.

But the move has already drawn sharp criticism from cross-party political figures, who warn it will undermine the global pressure campaign to weaken Russia’s war economy. Emily Thornberry, chair of Parliament’s Foreign Affairs Committee, argued that the reversal would leave Ukrainians feeling betrayed. “Ukraine’s allies should keep squeezing Russia’s oil industry, because it is absolutely crippling their economy,” Thornberry said.

The U.K.’s policy shift aligns with a similar easing of sanctions by the United States, which earlier this week extended a 30-day sanctions exemption that allows U.S. entities to facilitate purchases of Russian oil cargoes already en route by sea. The coordination between the two countries on easing comes even as Western powers publicly reaffirm their commitment to maintaining pressure on Russia. On Tuesday, finance ministers from the Group of Seven wealthy nations, which includes both the U.S. and the U.K., released a joint statement reaffirming “our unwavering commitment to continue to impose severe costs on Russia in response to its continued aggression against Ukraine.”

The dual messaging – public commitments to harsh sanctions paired with quiet adjustments to soften energy trade rules – underscores the growing tension Western governments face between sustaining their campaign against Russia and avoiding domestic political backlash from surging energy costs for consumers.