Source · Select Committees · Foreign Affairs Committee
Recommendation 30
30
Rejected
The Government took longer to repay the IMS Debt than it needed to and the...
Conclusion
The Government took longer to repay the IMS Debt than it needed to and the eventual circumstances under which it was paid were unsatisfactory. We conclude that the only factors which changed and therefore allowed repayment in March 2022 were the interpretation of the terms of the sanctions, and the political will to risk upsetting the US Administration. It would appear, from the limited information available, that the Government has no way of ensuring Iran abides by the conditions governing the spending of UK taxpayers’ money, nor is there any avenue for parliamentary scrutiny. (Paragraph 88) 52 Stolen years: combatting state hostage diplomacy Prevention and deterrence
Government Response Summary
The government disputes the committee's characterisation of the IMS debt repayment, stating it was done in compliance with sanctions and that UK-US relations remain close.
Government Response
Rejected
HM Government
Rejected
57. The IMS debt was discharged in full compliance with UK and international sanctions and global counter-terrorism financing and anti-money laundering regulations. As set out in paragraph 54, the debt was subject to litigation and discharging it in a legal, sanctions- compliant manner was complicated by a range of technical factors and required extensive negotiation with Iran. Successive Ministers and officials worked at pace to achieve this at the earliest opportunity. 58. The characterisation of UK-US relations in this context is inaccurate: following the payment of the debt, we have continued to work as closely as ever with our US partners to challenge and constrain Iran’s malign actions.