Ukraine sanctions move upsets oligarchs

Some are understood to have switched funds out of London, but others are said to be prepared to “sweat it out” in anticipation that the crisis will ease. The potential impact of sanctions has been reflected in estimates showing that Russia’s 10 top billionaires have seen the value of their assets slump by $6.6bn (£3.9bn) in just the past week.

David Cameron is said to be anxious to throw Britain’s full weight behind a tough list of sanctions after being embarrassed by photographs of a government document expressing concern about the effect on London markets and the global economy of anti-Russian sanctions.

EU ministers have already agreed to introduce targeted sanctions freezing the assets of key figures in the dispute, but officials have gone further and drawn up lists of individuals they feel are guilty of money-laundering.

The growing London population of Russian businessmen is attempting to come to terms with action that could halt their operations and damage a London luxury housing market highly dependent on their purchases.

Sanctions would halt the flow of Russian companies seeking London listings. Analysts feel the overall effect on Britain will be limited, but with exports to Russia showing rapid growth the impact on exporters could be damaging in the event of retaliatory measures.

Already-nervous markets will also provide an early pointer today about the impact of the Crimea election.

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