UK Prime Minister Keir Starmer has instructed that £2.5bn generated from the sale of football club Chelsea be directed to humanitarian assistance for Ukraine. The funds were obtained after Roman Abramovich sold the club under pressure from UK sanctions imposed in response to Russia’s war against Ukraine.
Starmer made an official statement in the House of Commons, stressing that if Abramovich fails to meet his commitments to transfer the funds, the UK government is prepared to pursue legal action. The Prime Minister said: “My message to Mr Abramovich is simple: time is running out — fulfil your obligations and release these funds. If that does not happen, we are ready to take the matter to court to ensure that every penny reaches the people whose lives have been devastated by Putin’s illegal war.”
Abramovich owned Chelsea FC from 2003, when he acquired the club for $187m. Following the start of Russia’s full-scale invasion of Ukraine in 2022, he was forced to sell the club. The buyer was an investor consortium led by US billionaire Todd Boehly, with the transaction valued at £2.5bn. Approval of the sale was conditional on the proceeds being used to support victims of the war.
At present, the funds remain frozen in a UK bank account, as the process of establishing an independent foundation to distribute the money has not yet been completed. The UK government insists that the funds be used exclusively to support Ukraine, while Abramovich has suggested they could also be directed to other purposes. This divergence in positions has stalled the final decision on transferring the funds.
The deal with the Boehly-led consortium was agreed in May 2022 and approved by the Premier League and the UK government on 25 May. However, the actual transfer of funds to Ukraine has been repeatedly delayed. In July 2023, London officially prohibited the use of the money outside Ukraine and required that the foundation operate solely within the country.
However, according to The Times, Ukraine may ultimately receive less than the full amount. Of the £2.35bn earmarked for the charitable foundation, only the “net proceeds” will be transferred after settling Chelsea’s outstanding liabilities incurred during Abramovich’s ownership. As a result, Ukraine could receive less than half of the total sum.
