The UK government has threatened former Chelsea FC owner Roman Abramovich with legal action if the funds of the 2022 sale of the club are not being used for humanitarian aid in Ukraine.
In a joint statement, UK Chancellor Rachel Reeves and Foreign Secretary David Lammy shared they are “deeply frustrated” with Abramovich as they have yet to agree a deal on how the £2.5bn accrued by the Chelsea sale should be distributed.
“The government is determined to see the proceeds from the sale of Chelsea Football Club reach humanitarian causes in Ukraine, following Russia’s illegal full-scale invasion. We are deeply frustrated that it has not been possible to reach an agreement on this with Mr. Abramovich so far,” the government’s statement read.
“While the door for negotiations will remain open, we are fully prepared to pursue this through the courts if required, to ensure people suffering in Ukraine can benefit from these proceeds as soon as possible.”
According to the BBC, the UK government is keen for the £2.5bn to be used as humanitarian aid for Ukrainians still suffering due to the ongoing war with Russia. Government officials may have accelerated their push for the money due to US President Donald Trump pausing monetary aid to Ukraine this year.
Abramovich, however, believes the money should contribute towards “all victims of the war in Ukraine”. The former Chelsea owner can not access the £2.5bn under current UK sanctions, but the money is outright his.
Chelsea sale leads to £2.5bn battle
In March 2022, Abramovich was placed under UK sanctions and forced to sell his majority ownership of Chelsea due to alleged ties to Russia President Vladimir Putin, a connection denied by the Russian oligarch.
This is due to the onset of the Russia-Ukraine war that broke out a month prior, and the UK government believed that Abramovich’s alleged links to Putin and the Russian government spanned “decades”.
A UK government statement at the time stated: “This association (Chelsea FC) has included obtaining a financial benefit or other material benefit from Putin and the Government of Russia.
“This includes tax breaks received by companies linked to Abramovich, buying and selling shares from and to the state at favourable rates, and the contracts received in the run-up to the 2018 World Cup. Therefore, Abramovich has received preferential treatment and concessions from Putin and the government of Russia.”
Abramovich agreed to sell the club and the eventual buyers – a consortium led by Clearlake Capital and Todd Boehly – finalised a deal worth £2.5bn for Chelsea to be sold.
As the Russian billionaire was still under UK sanctions, the £2.5bn was frozen under a UK bank account controlled by Ambramovich’s company Fordstam. He had stated he wanted the funds to go towards all victims of the war, but the UK government has routinely attempted to negotiate a deal with Ambramvich and his lawyers for the proceeds to go towards Ukrainian humanitarian aid.
Reeves and Lammy’s joint statement is the latest attempt to agree a deal with Abramovich, with a legal battle a potential outcome.
As of March 2025, the UK government reported it has frozen £25bn in Russian assets linked to 2,001 individuals and entities under its Russia sanctions regime. It estimates that these measures have cost the Russian economy approximately $400bn in lost income.
