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New UK Sanctions on Russia Targeting Technology, Software and Additional Strategic Goods

By Dj Wolff, Nicola Phillips & Sophie Davis on May 2, 2025
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In a move to strengthen its sanctions regime against Russia, the UK introduced additional sanctions through the publication of The Russia (Sanctions) (EU Exit) (Amendment) Regulations 2025. The new sanctions came into force on April 24, 2025.

Key Points of Note:

  • Software Sanctions: The UK has introduced a new prohibition on the transfer and making available of ‘sectoral software and technology’ to a person connected with Russia or for use in Russia. These restrictions capture business enterprise software and technology (such as ERP, CRM and supply chain management software), industrial design software and technology, and oil and gas related software and technology. The restrictions do not apply to software in the public domain or used for basic scientific research. In the accompanying explanatory memorandum, the UK Government confirmed that these restrictions capture the supply of in-scope software and technology in an intangible form, e.g., by download, via the cloud or otherwise provided as Software as a Service (“SaaS”). The new software restrictions largely align with existing EU and U.S. restrictions on enterprise management software.
  • New Export Restrictions: The UK added goods to existing Russia export and supply restrictions, including various chemicals, plastics, metals, machinery and electronics which have military and industrial uses. These changes are to align the UK with measures taken by its allies, as well as to include other products the UK Government has identified as being important to the Russian war economy (such as the oil, gas, and chemical sectors).   
  • Technology Transfer Sanctions: The UK already restricted the transfer of technology in relation to certain military-related goods. The UK has extended the scope of these controls to a wider set of technology, including energy-related goods, G7 dependency and further goods, and Russia’s vulnerable goods. Such information can take many forms, including IP, industrial know-how, trade secrets, and information contained in blueprints and designs.
  • Synthetic Diamonds Import Restrictions: Finally, the UK has extended an existing import ban to cover Russian synthetic diamonds (weighing 0.5 carats and above) processed in third countries. This new restriction aligns with an existing prohibition on natural diamonds and is intended to prevent potential circumvention since synthetic diamonds cannot be easily differentiated from natural diamonds.

In parallel, the UK Government has published new guidance on complying with the new sectoral software sanctions (here) and the technology transfer provisions (here), along with a notice to exporters on the additional trade sanctions (here).

Photo of Dj Wolff Dj Wolff
Read more about Dj WolffEmail
Photo of Nicola Phillips Nicola Phillips

Nicola Phillips guides her clients in all areas of commercial litigation. From providing crisis management and legal advice to clients facing cyberattacks to pursuing injunctive relief for victims of fraud, Nicola’s practice has a strong focus on urgent and critical support.

Nicola has

…

Nicola Phillips guides her clients in all areas of commercial litigation. From providing crisis management and legal advice to clients facing cyberattacks to pursuing injunctive relief for victims of fraud, Nicola’s practice has a strong focus on urgent and critical support.

Nicola has a diverse practice, advising on all aspects of civil litigation, and vast experience with high court litigation as well as alternative dispute resolution. She manages large compliance investigations and has experience acting for both regulators and large financial institutions responding to governmental enforcement enquiries. Nicola also has significant experience with large, complex civil frauds and regularly obtains injunctive relief to assist with asset preservation. Her other practice areas include asset-based lending, trade finance, infrastructure, energy, insurance, and employment-related disputes.

Read more about Nicola PhillipsEmail
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Photo of Sophie Davis Sophie Davis

Sophie Davis is a counsel in Crowell’s London office and advises clients on a range of sanctions, export controls, and trade compliance matters. Sophie has particular experience advising multinational corporations and financial institutions on how to comply with rapidly evolving trade and financial

…

Sophie Davis is a counsel in Crowell’s London office and advises clients on a range of sanctions, export controls, and trade compliance matters. Sophie has particular experience advising multinational corporations and financial institutions on how to comply with rapidly evolving trade and financial sanctions across a range of EU and UK sanctions regimes, assisting corporate clients with complex sanctions issues arising from their continued operations in, or divestments from, Russia, and supporting clients with licensing applications and responding to investigations.

Read more about Sophie DavisEmail
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  • Posted in:
    Business and Commercial
  • Blog:
    International Trade Law
  • Organization:
    Crowell & Moring LLP
  • Article: View Original Source

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