The UK government is preparing legal action against Roman Abramovich in a final attempt to unlock more than £2bn from the sale of Chelsea FC, aiming to use the funds for aid in Ukraine.
Ministers have grown increasingly frustrated over stalled negotiations with the Russian billionaire regarding how the money should be allocated.
With Donald Trump halting US military aid to Ukraine and cutting off intelligence sharing, the UK is urgently seeking alternative ways to support the country. Officials believe a legal battle may be the only way to resolve the dispute.
The funds, originally from Abramovich’s £2.5bn sale of Chelsea in 2022, were placed in a UK bank account controlled by his company, Fordstam.
While the government insists the money should be spent exclusively in Ukraine, Abramovich has argued for broader distribution.
Despite previous government commitments to establish an independent foundation, led by former Unicef UK head Mike Penrose, the organisation has yet to be set up.
Meanwhile, pressure is mounting on Foreign Secretary David Lammy to act swiftly, especially following Labour’s recent decision to cut the aid budget in favour of defence spending.
Legal experts within the government have indicated that court proceedings may be the only way to break the deadlock.
However, any decision to proceed would require approval from Chancellor Rachel Reeves and Attorney General Richard Hermer.
This case is separate from the wider £350bn in frozen Russian assets across Europe, which the UK and its allies have debated using to support Ukraine.
While some ministers advocate seizing these funds as reparations for war crimes, legal challenges and opposition from France and Germany have stalled progress.
Prime Minister Keir Starmer has confirmed that the UK is already using interest generated from these frozen assets to fund aid for Ukraine, but discussions are ongoing about whether further action is legally viable.
