The UK's top foreign minister added, however, that the measures don't mean that Russian nationals living in the UK will be cut off from legal representation.

UK lawyers are banned from advising Russian firms in certain business deals in a step that Whitehall hopes will further tighten the screws on Vladimir Putin’s regime.

From 29 June, rules prevent UK lawyers from advising Russian companies in certain business deals. This could include trade deals between global corporations, or international money lending. The measure adds to sanctions imposed in 2022 restricting Russian firms from accessing legal advice from UK lawyers.

However, the government said that restrictions on legal services don’t include legal representation for Russian nationals using UK legal expertise. It was important to ensure that “access legal support remains a core aspect of the rule of law across the UK,” according to James Cleverly, UK foreign secretary.

The UK, along with the European Union, the US, Switzerland and a host of other, mostly Western, nations have imposed sanctions on Russian individuals and firms following Russia’s invasion of Ukraine in February 2022. The move by Switzerland, a famously neutral jurisdiction in the past, was particularly notable. Cleverly said a total of £19 billion ($24.11 billion) worth of UK-Russia trade has been wholly or partially sanctioned, based on 2021 trade flows. 

Explaining how the new law works, Julie Norris, legal services regulatory partner at Kingsley Napley, said: "The ban relates to advice only and not legal representation in court or arbitral proceedings. Advice includes interpretation of law, the preparation of legal documents and advising in relation to a commercial transaction, negotiation or any other dealing with a third party.

"There are a limited number of exceptions, for example where the service is provided in relation to the discharge of or compliance with UK statutory or regulatory obligations and further where an obligation arises under a contract concluded before 30 June 2023,” she said. 

UK expertise
“The UK legal system underpins many international contracts and businesses, and we will no longer allow Russia to benefit from our knowledge and expertise. The Russian regime must be held to account for its violation of international law, and these sanctions are increasing the economic pressure to further isolate the Russian Government from the rest of the world," Lord Chancellor and Secretary of State for Justice, Alex Chalk, said in a statement last week. 

Kingsley Napley’s Norris added: “The regulations apply regardless of whether or not the services are provided to a person or company based in the UK.  

"Law firms will urgently need to review their risk assessments and sanctions screening for extant client matters to ensure compliance from today 30 June 2023 or potentially face criminal prosecution. 

"Lawyers should be in no doubt that the regulations need to be taken very seriously and whilst there has been little enforcement action seen to date, this is likely to change now the regime is implemented, allowing the focus to shift to enforcement. The risk of non-compliance is career ending in no uncertain terms,” Norris added.