Russian firms have routed $8bn of trade through British island territories since invasion of Ukraine

"Russian companies have used Britain's secretive island territories to conduct $8bn (5.9bn) of trade since the invasion of Ukraine, according to a report that highlights the flow of goods ranging from oil-drilling equipment to luxury yachts linked to Moscow's political elite. The analysis, published a day after the fourth anniversary of Russia's assault on its neighbour, raises questions over the role played by the British overseas territories in enforcing sanctions designed to turn the screw on the Kremlin."

"Analysis of 29,000 transactions identified: Yachts linked to allies of Vladimir Putin. Drilling kit for Kremlin-backed oil projects. Coal linked to Ukraine's pro-Russian ex-president. A jet linked to the Chechen warlord Ramzan Kadyrov. Researchers found that more than 95% of the trade, uncovered by scouring official data, was routed through four territories: the British Virgin Islands, Bermuda, the Cayman Islands and Gibraltar."

"Deals in 2022 include 65 transactions that use the description yacht, often using offshore entities as part of transfers between Turkey and the Russian port of Sochi, across the Black Sea. The number of yacht trades increased to 97 in 2023, including deliveries to parts of Crimea that had been annexed by Russia."

Russian companies have routed approximately $8 billion in trade through British overseas territories since the 2022 invasion of Ukraine, according to Transparency International's analysis. The investigation examined 29,000 transactions and identified over 150 luxury yachts, dozens of aircraft, and oil-drilling equipment linked to Moscow's political elite and Kremlin-backed projects. More than 95% of this trade flowed through four territories: the British Virgin Islands, Bermuda, the Cayman Islands, and Gibraltar. The majority of transactions occurred immediately after international sanctions were imposed in 2022, though recent deals continued through January 2025. Specific assets identified include vessels linked to Putin allies, drilling equipment for Russian oil projects, coal from Ukraine's pro-Russian former president, and aircraft connected to Chechen warlord Ramzan Kadyrov.

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