• The price cap applies to maritime transportation and associated services for Russian-origin oil.
• Trades under contracts agreed prior 2 September 2025, will have a 45-day wind-down period, ending 17 October 2025.
• Exceptions include emergencies and non-Russian-origin oil transiting through Russia.
• Businesses must comply with attestation and reporting requirements to ensure adherence to the cap.

This decisive action underscores the UK's commitment to economic pressure on Russia, supporting Ukraine and promoting global security.

For detailed guidance, the below material is provided:

For the full press release, click here.

To read OFSI’s new FAQs 154 to 161, click here and for the UK financial sanctions FAQs page here.

The updated Oil Price Cap general licence is here and the full Oil Price Cap guidance here.

Note on the UK Overseas Territories (UKOTs): The UK General Licence implementing the reduction to the oil price cap does not automatically apply in the UKOTs, however revisions to the parallel General Licences issued in the UKOTs (eg BVI, Cayman Islands, Bermuda) are expected to follow shortly. We are actively monitoring the situation and will provide further details in due course.

Note on the Crown Dependencies: Jersey automatically implements the UK General Licence regarding oil price cap, as such further local amendments are not expected on this.