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The reputation of Russia and Russians has seen better days – especially in London. Question is, can other financial centers profit from the outfall of a worsening climate for oligarchs in the U.K.?

The worsening of the relations between London and Moscow has been steady over recent years, with the murder of Alexander Litvinenko and the poisoning of former Russian agent Sergej Skripal and his daughter standing out as two distinctly brutal chapters.

Today, the two countries seem unable to work their way back from its current icy state, with sanctions imposed by the U.S. against Russian oligarchs adding some bite. However, the rubel is still a welcome commodity in the City.

Business as Usual

Gazprom, energy giant and sponsor of the Uefa Champions League, for instance sold a bond worth 750 million euros on the London Stock Exchange immediately after the Skripal affaire broke, said German current affairs magazine «Der Spiegel» (in German). And the oligarchs are as omnipresent in Mayfair and Kensington as ever.

«Business as usual», said the Russian ambassador on Twitter recently, with a fine sense of humor befitting his posting.

Not all are so happy about the state of affairs though and are intent on changing matters. The Foreign Affairs Select Committee of the Houses of Parliament recently scalded the government for its handling of the situation. It allowed the Russian kleptocracy to wash their assets courtesy of the U.K. banking system – endangering the country’s security.

Banks, Property Dealers and Footballers Love Russian Money