British energy policy on Russian fuel imports came under scrutiny on Wednesday after Prime Minister Keir Starmer defended a decision to ease sanctions on certain imports of Russian jet fuel and diesel, as global oil markets tightened amid escalating conflict in the Middle East.
The move includes a trade licence allowing the United Kingdom to import Russian crude oil that has been refined in third countries such as India, alongside a temporary easing of restrictions on liquefied natural gas from selected Russian facilities. The Department for Business and Trade said the licence is of “indefinite duration” but will be subject to periodic review.
The government argues the measures are designed to stabilise fuel supplies and protect consumers from rising energy costs driven by geopolitical disruption. Starmer said the policy involved “two targeted short-term licences to phase the new sanctions in and to protect UK consumers”, adding that it did not represent any broader rollback of sanctions.
“This is not a question of lifting existing sanctions in any way whatsoever, and we will continue to work with our allies on further sanction packages,” he said.
The decision comes as oil markets face renewed volatility following disruptions to Middle East shipping routes, including pressure on the Strait of Hormuz, a critical corridor for global crude and gas flows. The conflict linked to Iran and wider regional tensions has contributed to supply uncertainty and upward pressure on prices.
Starmer told Ukrainian President Volodymyr Zelenskyy in a call on Wednesday evening that Britain’s actions would ultimately weaken Russia’s position in global energy markets. A Downing Street spokesperson said he assured Zelenskyy that “as a result of the UK’s actions to date, there will be less Russian oil on the market, with Russia weaker as a result”.
The UK has maintained a strict sanctions regime on Russian energy since the 2022 invasion of Ukraine, targeting oil exports and more than 3,000 individuals and entities. The latest adjustment follows a US waiver allowing Russian oil cargoes already at sea to continue, extended again this week as global energy flows come under strain.
The European Union criticised the US decision at a G7 finance ministers’ meeting, where EU economics commissioner Valdis Dombrovskis warned it was not a time to “ease pressure on Russia”.
Domestically, the policy has triggered political backlash. Conservative leader Kemi Badenoch accused the government of “choosing to buy dirty Russian oil”, arguing the revenues would indirectly fund Russia’s war in Ukraine.
UK Treasury minister Dan Tomlinson defended the move as necessary to protect national energy security, describing it as “protecting the UK national interest” in response to “the extremes of the impacts of the conflict in Iran” and its effect on global supply chains.
Trade minister Chris Bryant later apologised to MPs for what he called the government’s “clumsy” handling of the issue, adding that he wanted the licences to be as “temporary as possible”.
Energy markets have remained highly sensitive to geopolitical shocks. Following strikes involving the US and Israel earlier this year, Iran’s effective closure of the Strait of Hormuz briefly disrupted shipping flows through one of the world’s most important oil chokepoints, although traffic has since partially recovered during a ceasefire period.
Benchmark Brent North Sea crude remained close to $110 a barrel on Wednesday, significantly above pre-war levels, underscoring continued inflationary pressure on global fuel and electricity costs as supply constraints persist across major energy corridors.
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