The UK says it will ban the export of luxury goods to Russia and impose a new 35 per cent tariff on £900 million ($1.2 billion) worth of Russian imports.

“Our new tariffs will further isolate the Russian economy from global trade, ensuring it does not benefit from the rules-based international system it does not respect,” UK’s Finance Minister Rishi Sunak said.

In a statement on Tuesday, Mr Sunak said the move followed a series of economic sanctions announced by the government to punish Russian President Vladimir Putin for invading Ukraine.

He said the export ban would come into effect shortly.

Mr Sunak said the goods subject to an additional tariff of 35 per cent had been chosen to minimise the impact on Britain while maximising the impact on the Russian economy.

The goods include iron, steel, fertilisers, wood, tyres, railway containers, cement, copper, aluminium, silver, lead, iron ore, residue/food waste products and beverages.

Others include spirits and vinegar glass and glassware, cereals, oilseeds, paper and paperboard, machinery, works of art, antiques, fur skins and artificial fur, ships and whitefish.

The minister said it cut off all export finance support to Russia and Belarus, meaning it will no longer issue any new guarantees, loans or insurance for exports.

Existing British exposure to Russia through its export credit agency is around £100 million.

(Reuters/NAN)