Financial sanctions

What are sanctions and who imposes them?

‘Sanctions’ is the term used for a range of measures designed to have an adverse impact on foreign countries or designated persons (individuals or corporate bodies) for one or more specified purposes (often foreign policy, sometimes counter-terrorism). The measures apply prohibitions and requirements on the targets directly, but also on third parties who trade or otherwise deal with them. For detailed guidance, see Practice Note: International sanctions—an introduction—What are sanctions?

They are also used as a last-resort enforcement tool when international peace and security has been threatened.

A designated person, entity or regime subject to sanctions that are effective in the UK is also known as a ‘target’.

Sanctions may be imposed by the United Nations (UN) Security Council or HM Treasury.

The types of measures that may be imposed include:

1. •

   financial sanctions

2. •

   director disqualification sanctions

3. •

   immigration sanctions

4. •

   trade sanctions

5. •

   aircraft and shipping sanctions

See Practice Note: The UK sanctions framework under SAMLA 2018.

How are sanctions administered and enforced in