The UK government has issued a final deadline to Roman Abramovich, warning the sanctioned Russian billionaire that he has 90 days to release £2.5bn from the sale of Chelsea FC or face court action. Ministers say the funds must be transferred to a new foundation created to support humanitarian causes in Ukraine, in line with commitments made when the club changed hands in 2022.
Prime Minister Keir Starmer told MPs that a licence authorising the transfer had now been issued, calling it Abramovich’s last chance to comply. The announcement coincides with a high stakes EU summit, where leaders will be pressed to agree on using frozen Russian assets to guarantee a €90bn loan for Kyiv.
“The clock is ticking on Roman Abramovich to honour the commitment he made when Chelsea FC was sold,” Starmer said. “This government is prepared to enforce it through the courts so that every penny reaches those whose lives have been torn apart by Putin’s illegal war.”
Abramovich sold Chelsea under pressure from the UK government after Russia’s full scale invasion of Ukraine. Although the sale was allowed to proceed on the condition that the proceeds supported victims of the conflict, the money has remained frozen in a UK account owned by his company Fordstam due to a long running dispute over how the funds should be allocated.
Negotiations stalled over Abramovich’s insistence that the money should benefit “all victims of the war,” including Russians, while the UK maintains that the proceeds must be used exclusively for humanitarian efforts inside Ukraine. Under the terms of the new licence, Abramovich must take steps to formally establish the foundation and arrange the transfer. Future returns generated by the fund could later support victims of conflict more broadly, but the initial £2.5bn must be directed to Ukraine.
Downing Street stressed that ministers had sought cooperation for years. Chancellor Rachel Reeves described the ongoing freeze as unacceptable, saying: “It’s time for Roman Abramovich to pay up. If he doesn’t act, then we are prepared to do what is necessary to make sure that money gets to the Ukrainian people.”
The Liberal Democrats urged the government to shorten the deadline, arguing that Abramovich should be given only until the end of the month.
The move comes as Kyiv signals cautious optimism over emerging peace proposals. Ukrainian President Volodymyr Zelenskyy said drafts negotiated with US officials could soon be finalised. US negotiators claimed progress after two days of talks in Berlin, saying about 90 percent of outstanding issues had been resolved, though Russian representatives were not present.
In parallel, European leaders continue to debate how to deploy frozen Russian state assets. The majority of the funds, around €185bn, are held by Euroclear in Brussels. Belgium has expressed reluctance to release the assets without guarantees shielding it from legal liability. Current proposals would see the EU extend a €90bn loan to Ukraine backed by the income generated from the frozen assets, while Russia’s ownership claim would remain formally intact.
Moscow has warned that any seizure or use of the assets would be considered theft and threatened to retaliate by targeting European private investors’ holdings in Russia.
