In the latest episode of the Russia-Ukraine crisis, some super-rich Russian shoppers known to enjoy shopping for high-end luxury goods at the famous Harrods store in central London have been given spending limits, a media report claimed on Sunday.
Knightsbridge’s department store has contacted Russian customers, warning that it will no longer sell them luxury goods worth more than GBP 300, according to The Telegraph. The store said the move was in response to a series of sanctions imposed by the UK government in retaliation for Russia’s dispute with Ukraine.
As you may be aware, the UK authorities have introduced further regulations as part of their ongoing sanctions against Russia that specifically target the sale of luxury goods, the newspaper quoted an email sent to a wealthy Russian.
The regulations seek to prohibit the supply of a wide range of luxury goods of certain standards (usually GBP 300) to individuals who are currently or typically in Russia, it reads.
The email contains a link to the new regulations and encourages the customer to review them.
The email further quotes: In order to comply with these rules, Harads must review its customer information in order to identify the customers they attend (referring to the country or phone number information they provided to us) who is currently or generally a resident of Russia. .
Based on this information, we have identified you as someone who is currently or generally a resident of Russia. If this is correct, it means you are subject to regulations and we will not be able to provide you with any limited luxury products.
Since the aggression, the UK government has said it has approved or nominated more than 1,000 Russians and 100 entities, including Oligarch, with a net global value of 117 billion GBP.
Prohibitions seize an asset that prevents any UK citizen, or any UK business, from transacting with any funds or financial resources owned, held or controlled by the nominee.
In March, shortly after the start of the Russia-Ukraine conflict, the United Kingdom banned the export of high-end luxury goods to Russia and imposed new import duties on the main Russian goods. The British government has called on all UK-based organizations to think carefully about any investment in Russia in the ongoing Ukrainian conflict.
To ensure we comply with these restrictions, we have reviewed our database to identify potentially affected customers and to notify their hardware if the information we have is inaccurate and current. It is not based on nationality, but address / contact details or previous transaction delivery data, Harads said in a statement.
Our priority is to comply with the regulations, inform potentially affected customers how this might limit their ability to shop at Hards, and ensure that larger customers are not unnecessarily affected. “We are pleased that we were able to take this step and help customers become aware of recent government regulations,” the statement said.