General Licence Permitting Utility Payments by UK Designated Persons
Summary
OFSI issued General Licence INT/2022/2300292 permitting UK Designated Persons (sanctioned individuals and entities) to make utility payments for gas and electricity from frozen UK bank accounts. The licence also allows Energy Companies to receive such payments and process return payments to frozen accounts, subject to quarterly reporting requirements to HM Treasury.
What changed
The licence authorises UK DPs to make Permitted Payments for gas, electricity, and heating to Energy Companies from frozen UK bank accounts via bank transfer or direct debit. Energy Companies may receive these payments and process Return Payments (such as overpayments or energy subsidy payments) to frozen accounts. Financial institutions may process these transactions without liability under UK Autonomous Sanctions Regulations.
UK DPs must report all Permitted Payments to HM Treasury within 30 days of each Yearly Quarter, including Energy Company name, amounts paid, payment route, and dates. Energy Companies must report any Return Payments within 14 days. The licence explicitly excludes payments to UN-designated persons and does not authorise payments under the Energy Bills Discount Scheme (closed March 2024).
What to do next
- UK Designated Persons must submit quarterly reports to HM Treasury within 30 days of each Yearly Quarter with payment details and supporting evidence
- Energy Companies must report Return Payments to HM Treasury within 14 days of making such payments
- Ensure payment documentation (amounts, dates, payment routes, Energy Company names) is retained for reporting purposes
Source document (simplified)
GENERAL LICENCE: Payments to Utility Companies for Gas and Electricity by UK Designated Persons who Own or Rent Properties in the UK INT/2022/2300292 This licence is granted under all UK Autonomous Sanctions Regulations listed in Annex 1 of this licence (the 1. "Regulations"). Any act which would otherwise breach any of the prohibitions set out in the Regulations, is exempt from 2. those prohibitions to the extent required to give effect to the permissions in this licence. In this licence: 3.
"Permitted Payment(s)" means Utility payments for gas and electricity supplies and heating and/or hot water powered by gas or electricity from an external source, such as a "Relevant UK Institution" means A person that has permission under Part 4A of the Financial Services through a district heating network, to UK properties owned or rented a "Yearly Quarter" means A yearly quarter refers to one of the four three-month periods that "UK DPs" means Those individuals or entities designated (or owned or controlled by an and Markets Act 2000 (permission to carry on regulated activity). by UK DPs. make up a full year as follows: "Return Payment(s)" means Payments due as a result of over-payments made pursuant to this individual or an entity designated) for the purposes of an asset freeze A person that is authorised or registered under Part 2 of the Payment Payments for gas and electricity meter installation, certification, licence or in relation to the UK Government energy subsidy payments - January 1 - March 31 by the UK under the UK Autonomous Sanctions Regulations only, but Services Regulations (SI 2017/752). under the Energy Bills Support Scheme over winter 2022 to 2023 "the UK Autonomous Sanctions Sanctions regulations made under the Sanctions and Anti-Money validation, monitoring, replacement, removal, including meters - April 1 - June 30 not those sanctioned by the United Nations excluding those related to district heating networks, and other payments in relation A person that is authorised or registered under Part 2 of the Electronic "Energy Companies" or "the Energy An Office of Gas and Electricity Markets (OFGEM) registered firm with Energy Bills Discount Scheme (EBDS) (which closed on 31 March, designated for the purpose of compliance with United Nations - July 1 - September 30 Regulations" or "the Regulations" Laundering Act 2018 (the Sanctions Act) and listed in Annex 1. to these activities. Money Regulations (SI 2011/99). Company" means permission to provide gas and/or electricity to properties in the UK. obligations. means 2024). - October 1 - December 31
Permissions Under this licence, subject to the conditions in Paragraphs 8-10 below: 4. 4.1 UK DPs may make Permitted Payments to Energy Companies from a frozen UK bank account by bank transfer or by direct debit; and 4.2 Any Person may make a Permitted Payment to Energy Companies (directly or indirectly), for or on behalf of a DP or for the benefit of a DP; and 4.3 Energy Companies may receive the Permitted Payments made under paragraphs 4.1 or 4.2. Under this licence, subject to the conditions in Paragraphs 8-10 below: 5. 5.1 Energy Companies may make Return Payments to frozen UK bank accounts; and 5.2 UK DPs may receive Return Payments from Energy Companies into a frozen UK bank account. A Relevant UK Institution may process payments made in accordance with paragraphs 4 and 5 above 6. This licence does not permit the payment for gas and/or electricity to any person designated by the United 7. Nations. Reporting Requirements On a monthly basis Within 30 days of the end of a Yearly Quarter, the UK DP must make a report to HM 8. Treasury in respect of all Permitted Payments made during that Yearly Quarter, with details and supporting evidence of:
- The name of the Energy Company;
- The amount(s) paid;
- The payment route used; and
The date on which the funds were paid.
Within 14 days of making a Return Payment under this licence, the Energy Companies must report to HM 9. Treasury, with details and supporting evidence of:The amount(s) transferred;
The payment route used;
The date on which the funds were transferred; and
The reason for the Return Payment.
Record-keeping Requirements The Energy Companies and UK DPs must keep accurate, complete and readable records, on paper or 10. electronically, of any activity purporting to have been permitted under this licence for a minimum of 6 years. General The permissions in this licence do not authorise any act which will result in funds or economic resources being 11. made available in breach of the relevant UK Autonomous Sanctions Regulations, save as permitted under a A person that is a "recognised clearing house", "third country central licence granted under those Regulations. counterparty", "recognised CSD" or "third country CSD" for the Information provided to HM Treasury in connection with this licence shall be disclosed to third parties only 12. purposes of s.285 of the Financial Services and Markets Act 2000. in compliance with the UK General Data Protection Regulation and the Data Protection Act 2018. A person that is an operator of a recognised payment system (or that "Person" means An individual or a body of persons corporate or unincorporate but is a service provider in relation to recognised payment systems) for the purposes of Part 5 of the Banking Act 2009. does not include a UK DP
This licence takes effect from 17 November 2022. 13. HM Treasury may vary, revoke or suspend this licence at any time. 14. Signed:
Office of Financial Sanctions Implementation HM Treasury 17 November 2022 Amended 24 February 2023 Amended 13 October 2023 Amended 15 December 2023 Amended 29 February 2024 Amended 28 October 2024 Amended 26 September 2025 Amended 31 March 2026.
Annex 1 - UK Autonomous Sanctions Regulations
Regulations 11 to 15 The Central African Republic (Sanctions) (EU Exit) Regulations Regulations 12 to 16 The Democratic People's Republic of Korea (Sanctions) (EU The Bosnia & Herzegovina (Sanctions) (EU Exit) Regulations Regulations 11 to 15 The Burundi (Sanctions) (EU Exit) Regulations The Counter-Terrorism (International Sanctions) (EU Exit) Regulations 11 to 15 The Democratic Republic of the Congo (Sanctions) (EU Exit) Regulations 12 to 16 The Global Irregular Migration and Smuggling in Persons Regulations 14 to 18 The Republic of Guinea-Bissau (Sanctions) (EU Exit) Regulations 11 to 15 The Iran Human Rights (Sanctions) (EU Exit) Regulations 11 to 15 The Russia (Sanctions) (EU Exit) Regulations 2019 Regulations 11 to 15 and/or Regulations 13 to 17 Exit) Regulations 2019 Regulations 2019 The Libya (Sanctions) (EU Exit) Regulations 2020 Regulations 12 to 16 17A The Republic of Belarus (Sanctions) (EU Exit) Regulations 2019 Regulations 11 to 15 Regime Relevant Regulations The Chemical Weapons (Sanctions) (EU Exit) Regulations 2019 Regulations 11 to 15 The Counter-Terrorism (Sanctions) (EU Exit) Regulations 2019 Regulations 11 to 15 The Cyber (Sanctions) (EU Exit) Regulations 2020 Regulations 11 to 15 The Global Anti-Corruption Sanctions Regulations 2021 Regulations 11 to 15 The Global Human Rights Sanctions Regulations 2020 Regulations 11 to 15 (Sanctions) Regulations 2025 The Guinea (Sanctions) (EU Exit) Regulations 2019 Regulations 11 to 15 The Iran (Sanctions) (Nuclear) (EU Exit) Regulations 2019 Regulations 12 to 17 The Iran (Sanctions) Regulations 2023 Regulations 15 to 19 The Mali (Sanctions) (EU Exit) Regulations 2020 Regulations 12 to 16 The Myanmar (Sanctions) Regulations 2021 Regulations 11 to 15 The Nicaragua (Sanctions) (EU Exit) Regulations 2020 Regulations 11 to 15 The Somalia (Sanctions) (EU Exit) Regulations 2020 Regulations 12 to 16 The South Sudan (Sanctions) (EU Exit) Regulations 2019 Regulations 12 to 16 The Sudan (Sanctions) (EU Exit) Regulations 2020 Regulations 12 to 16 The Syria (Sanctions) (EU Exit) Regulations 2019 Regulations 11 to 15 The Venezuela (Sanctions) (EU Exit) Regulations 2019 Regulations 11 to 15 The Yemen (Sanctions) (EU Exit) (No.2) Regulations 2020 Regulations 12 to 16 The Zimbabwe (Sanctions) (EU Exit) Regulations 2019 Regulations 11 to 15 Regulations 2019 Regulations 2019 Regulations 2019
Named provisions
Related changes
Source
Classification
Who this affects
Taxonomy
Browse Categories
Get Trade & Sanctions alerts
Weekly digest. AI-summarized, no noise.
Free. Unsubscribe anytime.
Get alerts for this source
We'll email you when OFSI General Licences publishes new changes.