UK’s Treasury Committee: Sanctions pushing Russia towards economic catastrophe

The Western sanctions imposed on Russian energy imports could have a “catastrophic and long-lasting” effect if fully implemented, while the existing restrictions placed on Russia’s central bank are particularly effective, a report on the measures by the cross-party Treasury Committee showed on Wednesday.

Key takeaways

“Russia faces both a significant hit to the size of its economy and significant inflation.”

“The Committee will continue to investigate what additional tools we have in our armory to bear down on Putin’s aggression and to further damage the Russian economy and its ability to fund this war.” 

“This war will also have economic consequences here at home, and while these are worth bearing to support Ukraine in their fight for freedom, it’s becoming increasingly clear that the Government will need to support those who are hit hardest.”

“The UK should improve the clarity of its guidance on sanctions to help the private sector implement them.”