Statutory guidance

Syria sanctions: guidance

Published 11 March 2020

As required by section 43 of the Sanctions and Anti-Money Laundering Act 2018 (‘the Sanctions Act’), the Secretary of State for Foreign, Commonwealth and Development Affairs has provided this guidance to assist in the implementation of, and compliance with, the Syria (Sanctions) (EU Exit) Regulations 2019 (the ‘Regulations’), as amended from time to time.

The following instruments have made amendments to this instrument. If a consolidated version is not yet available on legislation.gov.uk, these instruments should be read alongside the original instrument:

• the Sanctions (EU Exit) (Miscellaneous Amendments) (No.2) Regulations 2020
• the Sanctions (EU Exit) (Miscellaneous Amendments) (No.4) Regulations 2020

As required by the Sanctions Act, this document contains guidance on the prohibitions and requirements imposed by the Regulations. It additionally provides guidance on best practice for complying with the prohibitions and requirements; the enforcement of them; and circumstances where they do not apply.

This document is intended to be read alongside more detailed sanctions guidance published by departments including the Department for International Trade (DIT), Department for Transport (DfT), Home Office and HM Treasury, through the Office of Financial Sanctions Implementation (OFSI). This document contains links to those key sources of sanctions guidance, which will be regularly maintained and updated on GOV.UK. It is designed to give an overview of the prohibitions and requirements in the Regulations and, where appropriate, direct readers to further detailed guidance. This document is current on the date of publication.

1. Prohibitions and requirements imposed by the Syria (Sanctions) (EU Exit) Regulations 2019

The Regulations impose financial, trade, aircraft and immigration sanctions for the purposes of encouraging the Syrian regime to refrain from actions, policies or activities which repress the civilian population in Syria, and to participate in negotiations in good faith to reach a negotiated political settlement to bring about a peaceful solution to the conflict in Syria.

In order to achieve the stated purposes, the Regulations impose a number of prohibitions and requirements. In order to enforce these, the Regulations establish penalties and offences, which are set out in detail in the corresponding report under section 18 of the Sanctions Act in relation to criminal offences.

The prohibitions and requirements imposed by the Regulations apply within the territory of the United Kingdom (UK) (including Northern Ireland) and in relation to the conduct of all UK persons wherever they are in the world. UK persons include British nationals, as well as all bodies incorporated or constituted under the law of any part of the UK. Accordingly, the prohibitions and requirements imposed by the Regulations apply to all companies established in any part of the UK, and they also apply to branches of UK companies operating overseas.

The maritime enforcement powers contained in Part 10 of the Regulations apply in relation to British ships in international or foreign waters, ships without nationality in international waters and foreign ships in international waters.

It is prohibited to intentionally participate in any activities if you know that the object or effect of them is directly or indirectly to circumvent the prohibitions imposed by the Regulations or to enable or facilitate the contravention of those prohibitions.

If you are unclear about any aspect of the Regulations, in particular about whether action you are considering taking could contravene the Regulations, you are advised to seek independent legal advice.

Prohibitions and requirements for the financial, trade, aircraft and immigration sanctions contained in the Regulations are set out below.

1.1 Designation of persons

The Regulations provide that the Secretary of State may designate persons for the purposes of financial and/or immigration sanctions if they are, or have been, involved in a relevant activity (as defined in regulation 6).

The UK Sanctions List lists the people designated under the Regulations, and details of the sanctions in respect of which they have been designated.

1.2 Financial sanctions

Asset freeze and making available provisions

The Regulations impose financial sanctions through a targeted asset freeze on designated persons and prohibitions on making funds or economic resources available. This involves the freezing of funds and economic resources (non-monetary assets, such as property or vehicles) of designated persons and ensuring that funds and economic resources are not made available to or for the benefit of designated persons, either directly or indirectly.

Based on the designation criteria contained in the Regulations, this means that asset freezes are imposed on those persons who are designated as a result of carrying on prohibited activities in Syria related to chemical weapons, including developing, producing, acquiring, stockpiling or retaining chemical weapons, transferring chemical weapons to any person, using chemical weapons, engaging in any military preparations to use chemical weapons, and providing assistance to or encouraging or inducing any person to engage in any of the above activity.

Asset freezes are also imposed on those persons who are designated for providing financial services or making funds or economic resources available to those that are repressing the civilian population in Syria or supporting or benefitting from the Syrian regime.

Asset freezes are also imposed on those persons who are designated because of their involvement in the supply to Syria of restricted goods or restricted technology or of material related to such goods or providing financial services related to such supply. The Regulations also impose asset freezes on those involved in supplying goods or technology to Syria which could contribute to repressing the civilian population or supporting or benefitting from the Syrian regime, or providing financial services relating to such a supply.

More information on financial sanctions can be found in the OFSI guidance.

OFSI is the authority responsible for implementing the UK’s financial sanctions on behalf of HM Treasury. OFSI helps to ensure that financial sanctions are properly understood, implemented and enforced in the United Kingdom. Further information on how OFSI implements financial sanctions can be found on the OFSI pages of GOV.UK.

Investment and financial services and markets

There are specific prohibitions under the Regulations that apply to investments, financial services and markets.

A UK credit or financial institution must not open a bank account, establish a correspondent banking relationship or a joint venture with specific institutions, namely a credit or financial institution domiciled in Syria; any branches or subsidiaries, no matter where they are in the world, of credit or financial institutions domiciled in Syria; or credit or financial institutions not domiciled in Syria but owned or controlled by a person domiciled in Syria. UK credit or financial institutions must not open a representative office or establish a branch or subsidiary in Syria.

There are also restrictions relating to branches, subsidiaries and representative offices of those institutions mentioned above for example, in relation to them opening of representative offices or branches in the UK. It is also prohibited for these institutions to acquire or extend a participation in, or acquire any ownership interest in UK credit or financial institutions.

Any sale or purchase of public bonds or public-guaranteed bonds issued after 19 January 2012 must not be made to or from the Syrian regime or any of the institutions mentioned above, or to or from any person acting on behalf of those mentioned above or at their direction, or to or from an entity owned or controlled by them. Nor must any person provide brokering, advertising or other services which assist the issue of public or public-guaranteed bonds.

A person must not provide insurance or reinsurance services to the Syrian regime.

The Regulations impose prohibitions on investments in relation to crude oil and electricity production. These include granting a loan or credit, acquiring any ownership interest in or creating a joint venture with a person connected with Syria who is engaged in the exploration, production or refining of crude oil or the construction or installation of a new power plant for electricity production.

1.3 Trade sanctions

The Regulations impose trade prohibitions relating to:

• military goods and military technology (as specified in Schedule 2 to the Export Control Order 2008)
• any thing which falls within Chapter 93 of the Goods Classification Table^{[footnote 1]}, other than military goods
• goods and technology relating to chemical and biological weapons (as specified in Schedule 3 to the Regulations^{[footnote 2]})
• interception and monitoring goods and technology (as specified in Schedule 4 to the Regulations)
• interception and monitoring services
• crude oil and petroleum products which originate in Syria (as specified in Part 2 (3) and (4) of Schedule 2 to the Regulations)
• internal repression goods and technology (as specified in Schedule 5 to the Regulations)
• goods and technology relating to crude oil and natural gas (as specified in the EU list in Annex VI of Council Regulation No. 36/2012, as in force immediately prior to IP completion day)
• aviation fuel and aviation fuel additives (as specified in Part 2 (2) of Schedule 2 to the Regulations)
• Syrian denominated bank notes or coinage
• gold, precious metals or diamonds (as specified in Part 2 (6) of Schedule 2 to the Regulations)
• luxury goods (as specified in Part 2 (7) of Schedule 2 to the Regulations)
• goods and technology relating to electricity production (as specified in Part 2 (5) of Schedule 2 to the Regulations)
• services relating to the construction and installation in Syria of new power plants for electricity production

Technical guidance on interception and monitoring is available.

There are circumstances (set out in the relevant lists of controlled items) in which certain items are not controlled, for example when body armour or a helmet is accompanying a person for that person’s own protection. Please check the relevant lists as applicable.

A number of goods subject to prohibitions in the Regulations are identified by reference to commodity codes in the Goods Classification Table. The UK Tariff sets out a system for the classification of goods to enable importers to ascertain the applicable rate of import duty for their goods. It is this system of classification that is used in the Regulations in order to determine whether goods are within scope of the prohibitions.

This means that where commodity codes are used in the Regulations, the relevant goods are those which would be classified under the relevant commodity code (applying the rules in the UK Tariff) if the goods were being imported to the UK.

Some of the listings of commodity codes in the Regulations have an “ex” before the code. Where this “ex” appears before a commodity code this means that the prohibitions in the Regulations do not apply to all of the items under that commodity code. The prohibitions will only apply to those items that (1) would be classified under the commodity code and (2) that match the description given next to the relevant “ex” code entry in the Regulations.

Further detail on these trade prohibitions, including key terminology used, is explained below. Please have regard to the relevant legislation which contains full definitions of terms used herein.

The term “regulation 28 goods” and “regulation 28 technology” is used below to refer to the following items, which the trade restrictions at Chapter 2 relate to:

• goods and technology relating to chemical and biological weapons
• goods and technology relating to crude oil and natural gas
• interception and monitoring goods and technology
• internal repression goods and technology; and
• aviation fuel and aviation fuel additive goods (except in relation to the technical assistance, financial services and funds and brokering prohibitions)^{[footnote 3]}

Export of goods

The concept of ‘export’ is set out in customs legislation, but is further detailed in Paragraph 32 of Schedule 1 to the Sanctions Act, which clarifies that “export” means export from the UK, but does not capture where goods are removed to the Isle of Man from the UK.

The export prohibitions in regulations 29 (regulation 28 goods) and 47 (goods relating to electricity production) cover exports to Syria as well as exports that are for use in Syria.

The export prohibition in regulation 41 (bank notes or coinage) covers exports to or for the benefit of the Central Bank of Syria.

The export prohibition in regulation 42 (gold, precious metals or diamonds) covers exports to a ‘Syrian regime person’ as defined in regulation 27(6). The export prohibition in regulation 46 (luxury goods) covers exports to Syria.

This means that, even if the immediate destination is not Syria, the prohibition may still apply. Exporters should check the ultimate end use of goods and may apply for a licence or contact the Export Control Joint Unit (ECJU) if they know or think the items may be used in a way that would breach a prohibition.

A sanctions licence is not required for exports of non-military goods covered by the Regulations from Northern Ireland to an EU Member State where the final destination is Syria. You will however have to comply with any licensing requirements that apply in the relevant EU Member State for the onward export to Syria. You will also have to comply with any other licensing requirements under UK export control legislation as applicable.

Import of goods

The concept of ‘import’ is set out in customs legislation but is further detailed in Paragraph 33 of Schedule 1 to the Sanctions Act. This clarifies in particular that goods removed to the UK from the Isle of Man are not to be regarded as imported. Paragraph 34 details limited exceptions to this.

The import prohibition in Regulation 36 (arms and related materiel, crude oil and petroleum products) covers imports that are consigned from Syria and goods that originated in Syria. The import prohibition in Regulation 42 (gold, precious metals or diamonds) covers imports consigned from a ‘Syrian regime person’ as defined in Regulation 27(6). This means that even if the immediate place the goods were shipped from was not Syria, the prohibition may still apply. Therefore, importers should check the original place goods were consigned from and apply for a licence or contact DIT’s the Import Licensing Branch if they think the items may have originated in Syria or been consigned from Syria or from a ‘Syrian regime person’.

A sanctions licence is not required for imports of non-military goods covered by the Regulations from an EU Member State which originate in or are consigned from Syria. You will however have to comply with any licensing requirements that apply in the relevant EU Member State for the original import into the customs territory of the EU. You will also have to comply with any other licensing requirements under UK import control legislation as applicable.

Supply and delivery of goods

Supply and delivery prohibitions in regulations 30 (regulation 28 goods) and 46 (luxury goods) prohibit a person from directly or indirectly supplying or delivering certain goods from a third country to a place in Syria.

Regulation 38 (crude oil and petroleum products and military goods) prohibits a person from directly or indirectly supplying or delivering certain goods originating in or consigned from a place in Syria to a ‘third country’. It also covers movement of those goods from a place in a ‘non-UK country’ to a place in a different ‘non-UK country’.

Regulation 41 (bank notes or coinage) prohibits a person from directly or indirectly supplying or delivering certain goods from a third country to or for the benefit of the Central Bank of Syria.

Regulation 42 (gold, precious metals or diamonds) prohibits a person from directly or indirectly supplying or delivering certain goods from a third country to a ‘Syrian regime person’ as defined in regulation 27(6). It also covers movement of those goods from a ‘Syrian regime person’ to a place in a ‘non-UK country’.

Regulation 47 (goods relating to electricity production) covers movement of certain goods from a third country to a place in Syria.

‘Third country’ and ‘non-UK country’ are defined in each regulation.

Making goods and technology available

The prohibition in regulation 31 (regulation 28 goods and technology) on making goods or technology available (e.g. through a sale) covers directly or indirectly making them available for use in Syria or to a “person connected with Syria”.

Regulation 41 (bank notes or coinage) covers making certain goods available to or for the benefit of the Central Bank of Syria. Regulation 42 (gold, precious metals or diamonds) prohibits directly or indirectly making certain goods available to a ‘Syrian Regime person’ as defined in regulation 27(6). Regulation 46 (luxury goods) covers making certain goods available to a person connected with Syria. Regulation 47 (goods relating to electricity production) covers making certain goods available for use in Syria.

Regulation 27(5) sets out when a person is to be regarded as “connected with” Syria (and this applies where the term is used in other trade prohibitions in Chapter 2 and 4 of the Regulations).

Acquisition of goods and technology

The prohibition in regulation 37 (military goods and technology, crude oil and petroleum) on the acquisition of certain goods and technology includes directly or indirectly acquiring certain goods or technology originating in Syria, which are located in Syria, or from a person connected with Syria.

Regulation 42 (gold, precious metals or diamonds) covers the acquisition of goods from a ‘Syrian regime person’ as defined in regulation 27(6).

Transfer of technology

The prohibition in regulation 32 (regulation 28 technology) on the transfer of technology includes transfer to a place in Syria or a person connected with Syria. Regulation 39 (military technology) covers the transfer of military technology to persons or places outside the UK where the transfer is from a place in Syria.

The term ‘transfer’ is defined in Paragraph 37 of Schedule 1 to the Sanctions Act, which states that it ‘means a transfer by any means (or combination of means), including oral communication and that transfer of goods on which the technology is recorded or from which it can be derived, other than the export of such goods.’

Where technology relating to chemical and biological weapons, interception and monitoring technology, internal repression technology or military technology is contained within a good, that good would be classified as falling under the respective category of controlled good under the accompanying goods-related provisions. This includes information contained on USB memory devices, laptops, tablets and the like.

Technical assistance

The term ‘technical assistance’ in relation to goods and technology is defined in regulation 27, which states that it means:

• technical support relating to the repair, development, production, assembly, testing, use or maintenance of the goods or technology, or
• any other technical service relating to the goods or technology

Prohibitions apply where the technical assistance relates to certain specified goods or technology.

The prohibition in regulation 33 (regulation 28 goods and technology) applies to the direct or indirect provision of such technical assistance (1) to persons “connected with Syria” or (2) for use in Syria.

Regulation 43 (gold, precious metals or diamonds) prohibits the direct or indirect provision of technical assistance to a ‘Syrian regime person’ as defined in regulation 27(6).

Regulation 47 (electricity production) prohibits the direct or indirect provision of technical assistance (which, for the purposes of this regulation, means the provision of technical support or any other technical service) to anyone where such provision relates to the construction or installation in Syria of a new power plant for electricity production.

This means that, even if the person to whom you are providing technical assistance is not in or “connected with Syria”, the prohibition may still apply if the goods or technology to which the technical assistance relates are for use in Syria. Therefore, if you are providing technical assistance you should check whether the goods or technology may be used in Syria and apply for a licence or contact ECJU if so.

Financial services and funds related to goods and technology

‘Financial services’ refer to any services of a financial nature in many different forms including insurance and banking. Financial services include payment and money transmission services. The full definition of ‘financial services’ can be found in Section 61 of the Sanctions Act.

‘Funds’ means financial assets and benefits of every kind, including cash, securities and interest. The full definition of ‘funds’ can be found in Section 60 of the Sanctions Act.

Trade sanctions prohibitions on the provision of financial services and funds apply where they relate to certain specified goods or technology.

The prohibitions in the Regulations apply to the direct or indirect provision of financial services, and the direct or indirect making available of funds to persons connected with Syria in pursuance of or in connection with an arrangement set out in the Regulations at regulation 34(1). This captures arrangements where the object or effect falls into one of the prohibitions, for example the export of certain goods or direct or indirect supply or delivery of certain goods (regulation 28 goods and technology).

These prohibitions also prohibit the direct or indirect provision of financial services or funds in pursuance of or in connection with specific arrangements as set out at regulation 34(3).

Prohibitions in regulation 40 prohibit the direct or indirect provision of financial services or funds in pursuance of or in connection with an arrangement set out at regulation 40(1), which includes arrangements relating to military goods and technology, crude oil and petroleum.

Prohibitions in regulation 44 (gold, precious metals or diamonds) prohibit the direct or indirect provision of financial services and the direct or indirect making available of funds to a ‘Syrian regime person’ (as defined in regulation 27(6)) in pursuance of or in connection with arrangements set out at regulation 44(1). These prohibitions also prohibit the direct or indirect provision of financial services or funds in connection with specific arrangements set out at regulation 44(3).

Regulation 47 (goods relating to electricity production) prohibits the provision of financial services or funds to anyone where such provision relates to the construction or installation in Syria of a new power plant for electricity production.

Brokering services

The definition of ‘brokering services’ is set out in regulation 2, which states that it means any service to secure, or otherwise in relation to, an arrangement, including (but not limited to):

• the selection or introduction of persons as parties or potential parties to the arrangement
• the negotiation of the arrangement
• the facilitation of anything that enables the arrangement to be entered into, and
• the provision of any assistance that in any way promotes or facilitates the arrangement

Regulation 35 prohibits the direct or indirect provision of brokering services where they relate to specific arrangements (concerning regulation 28 goods and technology), set out at regulation 35.

Regulation 45 (gold, precious metals or diamonds) prohibits the direct or indirect provision of brokering services to a Syrian regime person in relation to an arrangement set out at regulation 45(1), and the direct or indirect provision of such services in relation to an arrangement at regulation 45(2).

Other service provisions

Certain other services are prohibited in these regulations. This includes the provision of interception and monitoring services to or for the benefit of the Syrian Regime^{[footnote 4]} (regulation 48). The definition of ‘interception and monitoring services’ is set out in regulation 20.

DIT contact details

The Department for International Trade (DIT) has overall responsibility for trade sanctions licensing. For general guidance on export controls and trade sanctions, contact the Export Control Joint Unit:

email: exportcontrol.help@trade.gov.uk or tradesanctions@trade.gov.uk

helpline: +44 (0) 20 7215 4594

For general guidance on import controls and trade sanctions contact the Import Controls team:

email: importcontrols@trade.gov.uk

1.4 Immigration sanctions

The effect of the Regulations is to impose a travel ban on persons who are designated by the Secretary of State for the purposes of being made subject to immigration sanctions under the Sanctions Act. Such persons are excluded persons for the purposes of section 8B of the Immigration Act 1971.

Designated individuals will be refused leave to enter or remain in the UK. Any applications they make for a visa to travel to the UK, including for transit purposes, will be refused. Any foreign national who is subject to a travel ban under the Regulations, and is currently in the UK, will have their permission to stay in the UK cancelled and steps will be taken to remove them from the UK.

If you are the subject of an immigration sanction and try to travel to the UK, carriers are required to deny you boarding.

Further information on how the Home Office deals with those who are subject to a travel ban can be found on the Home Office pages of GOV.UK.

1.5 Transport sanctions

Part 6 of the Regulations prohibits certain aircraft connected with Syria from landing in the UK. These are:

• any aircraft operated by Syrian Arab Airlines
• any aircraft which is owned, chartered or operated by a person who is connected with Syria and is using the aircraft exclusively for air cargo services

The Department for Transport (DfT) is ultimately responsible for the implementation of this prohibition. The Civil Aviation Authority (CAA) can assist in reinforcing the prohibition by withdrawing permits to land in the UK and take on passengers and cargo.

DfT also has overall responsibility for issuing licences allowing specific exceptions to this prohibition.

Further details are available on how to apply for a transport sanctions licence.

1.6 Information and record keeping

For the purpose of the financial sanctions contained in the Regulations, Part 8 of the Regulations places obligations on relevant firms (the definition of which is set out in the Regulations) to report information to HM Treasury about known or suspected designated persons or about persons who may have committed an offence under specified provisions of the Regulations.

It also grants powers to HM Treasury to request information from, amongst others, a designated person, including powers to request the production of documents. It also establishes offences for failing to comply with these requests (including for providing false information).

Part 8 also establishes information powers and record-keeping responsibilities in relation to the trade sanctions contained in the Regulations. It provides for offences for failing to comply with any of those requirements or intentionally obstructing an official in the exercise of those powers.

If you have obligations or responsibilities under Part 8 of the Regulations, it is important that you familiarise yourself with them. If you are unclear of your obligations or responsibilities, you are advised to seek independent legal advice.

2. How will these sanctions measures be enforced?

The Regulations make it a criminal offence to contravene the trade, aircraft and financial sanctions, as well as to enable or facilitate a contravention of, or to circumvent, any of the prohibitions in the Regulations. They also prescribe the mode of trial and penalties that apply to such offences. In some cases, offences related to contraventions of prohibitions in the Regulations are contained within other legislation, such as the Customs and Excise Management Act 1979 (CEMA).

In addition to the below, further details on offences and penalties can be found in the corresponding report under section 18 of the Sanctions Act.

2.1 Financial sanctions

Breaches of financial sanctions are a serious criminal offence. Any breach of the main financial prohibitions in the Regulations is an offence that is triable either way and carries a maximum sentence on indictment of 7 years’ imprisonment or a fine (or both).

Offences under regulations 69(6) or 73 (information offences in connection with financial sanctions under the Regulations) are summary offences only and carry a maximum sentence of 6 months’ imprisonment or a fine (which in Scotland or Northern Ireland may not exceed level 5 on the standard scale) or both.

OFSI is responsible for monitoring compliance with financial sanctions and for assessing suspected breaches. It also has the power to impose monetary penalties for breaches of financial sanctions and to refer cases to law enforcement agencies for investigation and potential prosecution.

OFSI works with other parts of government, supervisory bodies and regulators to consider all cases reported to it, sharing relevant information accordingly.

If you find out that a person or organisation you are dealing with is subject to the financial sanctions detailed in the Regulations, you must immediately:

• stop dealing with them
• freeze any assets you are holding for them
• inform OFSI as soon as possible by either emailing ofsi@hmtreasury.gov.uk or by calling their general enquiries line: +44 (0)20 7270 5454

More detailed information on OFSI’s approach to compliance and enforcement can be found in Chapter 7 of OFSI’s guidance.

2.2 Trade sanctions

Any breach of the trade sanctions prohibitions in the Regulations is triable either way and carries a maximum sentence on indictment of 10 years’ imprisonment or a fine (or both). Any breach of the trade licensing provisions is also triable either way and carries a maximum sentence on indictment of 2 years’ imprisonment or a fine (or both).

HM Revenue and Customs (HMRC) is responsible for enforcing the licensing restrictions and investigating suspected offences.

If you discover that you have breached any of the trade prohibitions or licensing provisions, you should report the irregularity to HMRC (sometimes known as ‘voluntary disclosure’) as soon as possible. If the irregularity was found on an Export Control Joint Unit compliance audit, the compliance inspector will have informed HMRC and you are strongly advised to do the same. Guidance is available on how to make a voluntary disclosure.

2.3 Transport sanctions

The aviation prohibition is integral to the enforcement of the overall sanctions regime. Breaching the prohibition is a serious offence and carries a maximum sentence of 7 years’ imprisonment.

Where the conditions on which an aircraft licence has been issued are broken, those found to be culpable can be imprisoned for up to a maximum of 2 years, receive a fine, or both. Failure to comply with directions is in certain circumstances also an offence under the Regulations.

The Department for Transport (DfT) takes an overview of the enforcement of this transport sanction which may, for example, involve the Secretary of State issuing directions to airport operators and the CAA in order to assist in implementing the prohibition.

If you become aware that a breach of the aviation prohibition detailed in the Regulations has taken or will take place, then you must report it as soon as possible by calling DfT on 020 7944 5999 and by emailing transportsanctions@dft.gov.uk.

3. Are there circumstances when I can get an authorisation or licence for a sanctioned activity?

Licensing and exception provisions are contained in Part 7 of the Regulations.

3.1 Exceptions

The Regulations set out exceptions to some of the sanctions prohibitions which apply within certain defined circumstances. An exception applies automatically, and does not require you to obtain a licence issued in accordance with the Regulations.

The Regulations establish exceptions relating to financial sanctions including for the crediting of a frozen account by a relevant institution (any such interest and other earnings will be frozen in accordance with the relevant legislation underpinning the asset freeze). An exception also exists from the prohibition on making funds available to a designated person, when funds are transferred to a frozen account in discharge (or partial discharge) of an obligation which arose before the recipient became a designated person.

There are exceptions for the prohibitions relating to the provision of insurance and reinsurance services to allow the provision of compulsory or third-party insurance to a Syrian national or entity that is located in the UK. The provision of insurance for a diplomatic mission or consular post of Syria in the UK is also exempt, as is the provision of insurance for those acting on behalf or at the direction of the Syrian regime if it is for their personal use. There is also an exception for providing insurance or reinsurance to the owner of a ship or aircraft which is chartered, or a vehicle which is hired, by a person acting on behalf of or at the direction of the Syrian regime, provided that person is not designated.

The Regulations also provide exceptions from the prohibitions relating to petroleum products such as for a diplomatic mission to purchase, supply or deliver petroleum products where these products are exclusively for the official use of that mission.

There is also a humanitarian assistance exception from the relevant prohibitions under the Regulations. This exception applies to persons who receive funding from the UK government for the purpose of providing a humanitarian assistance activity in Syria. It applies when such a “UK funded person” makes available funds or economic resources for the purposes of either:

• purchasing, supplying or delivering petroleum products; or
• providing funds, economic resources or financial services in relation to those activities; and

where the petroleum products are purchased, supplied or delivered exclusively for the purposes of providing a humanitarian assistance activity.

If you rely on this exception, you must notify its use to the Export Control Joint Unit (ECJU). This template on your usage of the exception must be completed and submitted no later than the end of the calendar year in which the activity took place. Please send your return and any other relevant documents to tradesanctions@trade.gov.uk.

There is an exception allowing the purchase of kerosene jet fuel in Syria for the continuation of a flight. And there is an exception from the prohibitions where aviation fuel or aviation fuel additives are exclusively for use by non-Syrian aircraft landing in Syria for the continuation of a flight.

The Regulations include an exception from the prohibitions relating to military goods and technology, and arms and related materiel, for activities which are carried out in accordance with paragraph 10 of UNSCR 2118 (2013) to ensure the elimination of the chemical weapons programme of the Syrian regime.

The Regulations also provide for an exception to the restrictions on luxury goods when relating to the personal effects of a person travelling to Syria or goods of a non-commercial nature for the personal use of a person travelling to Syria and contained in that person’s luggage.

There are exceptions relating to the aviation prohibition in the Regulations to allow an aircraft to land in the UK in emergencies where failing to land would endanger the lives of persons on board or the safety of the aircraft itself. Exceptions are also permitted where: (a) an aircraft engaged in non-scheduled international air services lands in the UK for non-traffic purposes under article 5 of the Chicago Convention 1944; or (b) an aircraft engaged in scheduled international air services lands in the UK for non-traffic purposes under section 1 article 1 of the International Air Services Transit Agreement (IASTA) 1944. The exceptions apply automatically and do not require you to obtain a licence from the Department for Transport.

Regulation 59A establishes an exception to regulations 11 to 15, regulation 16, regulation 21, Chapters 2 to 5 of Part 5 (Trade) and regulation 51(1) which provides that prohibitions are not contravened if conduct is authorised by a licence which is issued under the law of the Channel Islands, Isle of Man or any British Overseas Territory for the purpose of disapplying a prohibition in that jurisdiction which corresponds to the relevant prohibition.

The Regulations also include an exception in relation to any prohibition or requirement imposed by the Regulations for actions determined by a responsible officer to be in the interests of national security, or the prevention or detection of serious crime in the UK or elsewhere.

If you are unsure whether an exception applies in your circumstances, you are advised to seek independent legal advice.

3.2 Licensing for financial sanctions

Where a person is designated for the purposes of the financial sanctions (asset freeze measures and making available provisions) contained in the Regulations, the designated person or a representative (on their behalf) may apply for a licence from OFSI to use their funds or economic resources (non-monetary assets, such as property or vehicles). Schedule 6 to the Regulations sets out the purposes pursuant to which, or for which activities, OFSI may grant an individual licence. In summary these are:

• basic needs
• reasonable professional fees for or reasonable expenses associated with the provision of legal services
• reasonable fees or service charges arising from the routine holding or maintenance of frozen funds or economic resources
• extraordinary expenses
• pre-existing judicial decisions etc
• humanitarian assistance activities etc
• diplomatic missions etc
• human safety or enviromental protection
• education, professional training or academic research
• essential energy needs
• evacuations
• Chemical Weapons Convention
• extraordinary situations
• prior obligations
• central and commercial banks of Syria

The Regulations also provide a power for licences to be issued by OFSI where other financial sanctions apply and details of these can be found in regulation 61 (Treasury licences). Specifically, in respect of the prohibitions in regulation 16 (UK credit or financial institutions) and regulation 21 (investments in relation to crude oil and electricity production) a licence can be granted, where considered appropriate, in the following circumstances as set out in Part 3 of Schedule 6:

• assisting the civilian population in Syria

Further information on exceptions and licensing grounds can be found in OFSI’s guidance.

Information on licence applications and the relevant form can be found on OFSI’s GOV.UK licensing webpage.

3.3 Licensing for trade sanctions

Licences may also be issued for certain trade activities that would otherwise be prohibited by the Regulations. The Department for International Trade (DIT) has overall responsibility for trade sanctions licensing. The Secretary of State for International Trade is ultimately responsible for decisions to grant or refuse a trade sanctions licence in any individual case.

The Export Control Joint Unit sits within DIT and is responsible for administering the licensing provisions on behalf of the Secretary of State for all trade sanctions, except those relating to imports which are administered by the DIT Import Licensing Branch. In exercising these powers, DIT seeks and considers advice from other government departments.

In making decisions on whether to grant a licence to permit something which would otherwise be prohibited under Part 5 of the Regulations, the Secretary of State will consider each application on a case-by-case basis to determine whether granting a licence would be consistent with the stated purposes of the sanctions regime and any UN or other relevant international law obligations.

For some prohibitions there are some specific activities which DIT considers are likely to be consistent with the aims of the sanctions. These are set out in the table below. If you think that your proposed activity falls within one of these specific descriptions you should make this clear and explain why you believe this to be the case in your application for a licence.

You should not assume that a licence will be granted or engage in any activities prohibited by trade sanctions until your licence has been granted.

Prohibition description	Prohibition reference	Considerations for licensing
Prohibitions on the export, making available, supply or delivery of aviation fuel and aviation fuel additives.	Regulations 29-31	A licence may be granted for the export, making available, supply or delivery of aviation fuel and aviation fuel additives if the aviation fuel or aviation fuel additives are required by the UN or bodies acting on its behalf for humanitarian assistance activities.
		A licence may be granted for the export, making available, supply or delivery of aviation fuel and aviation fuel additives if the aviation fuel or aviation fuel additives are for evacuations from Syria or within Syria.
Prohibitions on the export, making available, transfer, supply or delivery of goods or technology, relating to chemical and biological weapons in Parts 1 and 2 of Schedule 3.	Regulations 29-32	A licence may be granted for the export, making available, transfer, supply or delivery of goods or technology relating to chemical and biological weapons in Parts 1 and 2 of Schedule 3 if the goods or technology are intended for humanitarian assistance activities.
		A licence may be granted for the export, making available, transfer, supply or delivery of goods or technology relating to chemical and biological weapons in Parts 1 and 2 of Schedule 3 if the goods or technology are intended for the benefit of the UK Government or the UN.
		A licence may be granted for the export, making available, transfer, supply or delivery of goods or technology relating to chemical and biological weapons in Parts 1 and 2 of Schedule 3 if it is undertaken in accordance with paragraph 10 of United Nations Security Council Resolution 2118 (2013) and related decisions of the Executive Council of the Organisation for the Prohibition of Chemical Weapons (OPCW), consistent with the objective of the Convention on the Prohibition of the Development, Production, Stockpiling and Use of Chemical Weapons and on their Destruction (Chemical Weapons Convention) and after consultation with the OPCW.
Prohibitions on the provision of technical assistance, brokering services, financial services or funds relating to goods or technology relating to chemical and biological weapons in Parts 1 and 2 of Schedule 3	Regulations 33-35	A licence may be granted for the provision of technical assistance, brokering services, financial services or funds relating to goods or technology relating to chemical and biological weapons in Parts 1 and 2 of Schedule 3 if the technical assistance, brokering services, financial services or funds are provided in relation to goods or technology which are intended for humanitarian assistance activities.
		A licence may be granted for the provision of technical assistance, brokering services, financial services or funds relating to goods or technology relating to chemical and biological weapons in Parts 1 and 2 of Schedule 3 if the technical assistance, brokering services, financial services or funds are provided in relation to goods or technology for the benefit of the UK Government or the UN.
		A licence may be granted for the provision of technical assistance, brokering services, financial services or funds relating to goods or technology relating to chemical and biological weapons in Parts 1 and 2 of Schedule 3 if the technical assistance, brokering services, financial services or funds are provided in relation to activities undertaken in accordance with paragraph 10 of United Nations Security Council Resolution 2118 (2013) and related decisions of the Executive Council of the OPCW, consistent with the objective of the Convention on the Prohibition of the Development, Production, Stockpiling and Use of Chemical Weapons and on their Destruction (Chemical Weapons Convention) and after consultation with the OPCW.
Prohibitions on the export, making available, transfer, supply or delivery of goods or technology relating to chemical and biological weapons in Part 3 of Schedule 3.	Regulations 29-32	A licence will not be granted for the export, making available, transfer, supply or delivery of goods or technology relating to chemical and biological weapons in Part 3 of Schedule 3 if the Secretary of State has reasonable grounds to determine that the goods or technology might be used for internal repression or for the manufacture or maintenance of anything which might be used for internal repression.
Prohibitions on the provision of technical assistance, brokering services, financial services or funds relating to goods and technology relating to chemical and biological weapons in Part 3 of Schedule 3.	Regulations 33-35	A licence will not be granted for the provision of technical assistance, brokering services, financial services or funds relating to goods and technology relating to chemical and biological weapons in Part 3 of Schedule 3 if the Secretary of State has reasonable grounds to determine that the technical assistance, brokering services, financial services or funds are intended, or may be intended, to contribute to: - internal repression, or; - the manufacture or the maintenance of anything which might be used for internal repression.
Prohibitions on the export, making available, transfer, supply or delivery of goods or technology relating to crude oil and natural gas.	Regulations 29-32	A licence may be granted for the export, making available, transfer, supply or delivery of goods or technology relating to crude oil and natural gas if the Secretary of State considers that the export, supply and delivery, making available or transfer is for the purpose of providing assistance to the civilian population in Syria, and is not directly or indirectly for the benefit of a designated person.
		A licence may be granted for the export, making available, transfer, supply or delivery of goods or technology relating to crude oil and natural gas if it relates to the satisfaction of an obligation required by a contract which was awarded or concluded prior to 19 January 2012.
Prohibitions on the provision of technical assistance, brokering services, financial services or funds relating to the export, making available, transfer, supply or delivery of goods or technology relating to crude oil and natural gas.	Regulations 33-35	A licence may be granted for the provision of technical assistance, brokering services, financial services or funds relating to the export, making available, transfer, supply or delivery of goods or technology relating to crude oil and natural gas if the Secretary of State considers that the technical assistance, brokering services, financial services or funds are for the purpose of providing assistance to the civilian population in Syria, and that the assistance is not being provided directly or indirectly to or for the benefit of a designated person.
		A licence may be granted for the provision of technical or financial assistance relating to the export, making available, transfer, supply or delivery of goods or technology relating to crude oil and natural gas if the technical or financial assistance relates to the satisfaction of an obligation arising under a contract which was awarded or concluded prior to 19 January 2012.
Prohibitions on the export, making available, transfer, supply or delivery of interception and monitoring goods or technology.	Regulations 29-32	A licence will not be granted for the export, making available, transfer, supply or delivery of interception and monitoring goods or technology if the Secretary of State has reasonable grounds to determine that the goods or technology would be used by the Syrian regime or on its behalf for interception and monitoring services in Syria.
Prohibitions on the provision of technical assistance, brokering services, financial services or funds relating to interception and monitoring goods or technology.	Regulations 33-35	A licence will not be granted for the provision of technical assistance, brokering services, financial services or funds relating to interception and monitoring goods or technology if the Secretary of State has reasonable grounds to determine that the provision of technical assistance, brokering services, financial services or funds relates to goods or technology that would be used by the Syrian regime or on its behalf for interception and monitoring services in Syria
Prohibitions on the export, making available, transfer, supply or delivery of internal repression goods or internal repression technology	Regulations 29-32	A licence may be granted for the export, making available, transfer, supply or delivery of internal repression goods or internal repression technology if the goods or technology are intended solely for humanitarian assistance activities or protective use.
Prohibitions on the provision of technical assistance, brokering services, financial services or funds relating to goods or technology which might be used for internal repression.	Regulations 33-35	A licence may be granted for the provision of technical assistance, brokering services, financial services or funds relating to goods or technology which might be used for internal repression if the technical assistance, brokering services, financial services or funds relate to goods or technology intended solely for humanitarian assistance activities or protective use.
Prohibitions on the supply or delivery and acquisition of crude oil and petroleum products, or the provision of related financial services or funds.	Regulations 37-38 and 40	A licence may be granted for the acquisition, supply or delivery within Syria of crude oil and petroleum products, or the provision of related financial services or funds, if the crude oil or petroleum products are acquired, supplied or delivered solely for the purpose of providing humanitarian assistance activities in Syria or assistance to the civilian population in Syria.
		A licence may be granted for the acquisition of crude oil or petroleum products which were exported from Syria prior to 2 September 2011.
Prohibitions on the provision of interception and monitoring services	Regulation 48	A licence will not be granted for the provision of interception and monitoring services if the Secretary of State has reasonable grounds to determine that the interception and monitoring services would be used by the Syrian regime or on its behalf for interception and monitoring services in Syria.
Prohibition on the export, making available, supply or delivery of goods relating to electricity production	Regulations 47(1) and (2)	A licence may be granted for the export, making available, supply or delivery of goods relating to electricity production in Syria if the export, making available, supply or delivery relates to the satisfaction of an obligation required by a contract or agreement that was concluded prior to 19 January 2012.
Prohibition on the provision of technical assistance, financial services or funds relating to the construction or installation in Syria of new power plants for electricity production.	Regulation 47(3)	A licence may be granted for the provision of technical assistance, brokering services, financial services or funds relating to the construction or installation in Syria of a new power plant for electricity production in Syria if it relates to the satisfaction of an obligation required by a contract or agreement that was concluded prior to 19 January 2012.

Applications for trade sanctions licences can be made through SPIRE. Information on the activities you wish to carry out and any other relevant documentation can be provided in a cover letter and attached to the application. If you have questions on trade sanctions licensing, for example, the purchase of petroleum products for humanitarian relief in Syria, please contact us via tradesanctions@trade.gov.uk.

When you export goods, you may need to submit an electronic export declaration via the National Export System (NES), part of His Majesty’s Revenue and Customs’ (HMRC) Customs Handling of Import and Export Freight (CHIEF) system. Guidance is available on how to make an export declaration.

Licence applications for import of goods can be made through the online import licensing system ICMS, managed by DIT’s Import Licensing Branch (ILB). The DIT Import Licensing Branch will, to the extent possible, aim to inform the trader of the application outcome within 30 days. However, in some circumstances, for operational or legal reasons, DIT may need to take longer than the 30 day period. We will inform the applicant if this is the case.

When you import goods, you may need to submit an import declaration through His Majesty’s Revenue and Customs’ (HMRC) Customs Handling of Import and Export Freight (CHIEF) system. Guidance is available on how to make an import declaration.

3.4 Overlap with strategic export licensing

Military goods and military technology

Please note that the export of and trade in military goods and military technology are also controlled under the Export Control Order 2008 and so you may also need a licence which is valid under that legislation. This means that all licence applications relating to military goods and military technology will also need to be considered against the Strategic Export Licensing Criteria. A licence under the Regulations is unlikely to be granted if a licence is refused for the same activity under the Export Control Order 2008.

The way this will work in practice is that we will consider an application for a licence which relates to activities that are licensable under both the Regulations and the Export Control Order 2008 as an application for a licence under both pieces of legislation. This means that only a single licence application is required.

The application will be considered against the relevant licensing criteria. If a licence is granted it will be valid under both the Export Control Order 2008 and the Regulations.

Dual-use goods and technology

Please note that the export of and trade in dual-use goods and technology are also controlled under the Dual-Use Regulation. Authorisations under that Regulation are granted by the Secretary of State for International Trade under licensing powers in the Export Control Order 2008.

This means that all licence applications relating to items which are controlled dual-use goods and technology (for instance certain items listed in Schedule 3) will also need to be considered against the Strategic Export Licensing Criteria. A licence under the Regulations is unlikely to be granted if an authorisation is refused for the same activity under the Dual-Use Regulation.

As explained above in relation to military goods and technology, only a single licence application will be required in relation to dual-use goods and technology which falls within the scope of both the Regulations and the Dual-Use Regulation. If the application is compatible with both criteria, a licence will be granted which will be valid under the Dual-Use Regulation and the Export Control Order 2008 as well as the Regulations.

Overlap between trade sanctions and financial sanctions

If you import or export goods, you need to consider if financial sanctions apply to you. You may need a licence from OFSI as well as from the Export Control Joint Unit or the Import Licensing Branch.

Transit control

Certain goods transiting the UK are still regarded as being exported when they leave the country and are therefore subject to control. Article 17 of the Export Control Order 2008 includes a transit and transhipment exception meaning that in many situations a licence is not required. This exception does not apply to goods destined for Syria, meaning that a licence is required to transit goods through the UK or to tranship them in the UK with a view to re-exportation to Syria.

3.5 Licensing for transport sanctions

Where the aviation prohibition applies, and an exception does not apply, a licence may be issued by DfT in particular circumstances to allow for specific actions to take place which would otherwise be prohibited.

A licence may be granted to allow for an aircraft, that would otherwise be subject to the prohibition in the Regulations, to land at a UK airport, for reasons not related to the exceptions detailed above. An example would be to take on board medicines or emergency food supplies.

A licence may be general or be issued to a particular category of person or to a particular person. Licences may contain conditions and they may be of a defined duration or of indefinite duration.

Information on how to apply for a transport sanctions licence is available on GOV.UK.

3.6 Directions in respect of immigration sanctions

If you are subject to immigration sanctions the Home Office may direct, on a case by case basis, that the sanction does not apply in particular circumstances, such as for travel to, or through, the UK for a UN sponsored meeting. You can check how to apply for a UK visa, and find further information about travelling to the UK on GOV.UK.

4. Further information

Sign up to receive Notices to Exporters and view the Notices to Importers for updates on trade sanctions.

To receive an email alerting you to any changes to the consolidated list of financial sanctions targets, you can subscribe to OFSI’s e-alert.

1. “the Goods Classification Table” means the table so named in Annex I in Part Three of the Tariff of the United Kingdom. ↩

2. This schedule includes certain dual-use items which are identified by reference to the entries in Annex I to Council Regulation 428/2009 as retained by the European Union (Withdrawal) Act 2018 (‘the Dual-Use Regulation’). ↩

3. See Regulation 33(4), 34(6) and 35(5). ↩

4. “The Syrian regime” is defined in the Regulations as the regime in Syria on or after 9 May 2011 led by Bashar Al-Assad and includes its public bodies, corporations or agencies, or any person acting on its behalf or at its direction. ↩