Nazanin Zaghari-Ratcliffe: Iran to use £384m debt repayment on humanitarian causes, minister says

1/22
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A Foreign Office minister insisted on Thursday that Iran will not be able to use a £384 million debt repayment which helped secure the release of Nazanin Zaghari-Ratcliffe for anything other than humanitarian purposes.

James Cleverly said the Government had “sought assurances” that the money - which relates to an agreement to deliver Chieftain tanks cancelled by Britain over 40 years ago - will abide by international money laundering, anti terrorism and sanctions laws.

Negotiations to secure the release of Mrs Zaghari-Ratcliffe and two other dual British nationals being detained by Iran have been held up for years over how to repay the debt without breaching sanctions imposed on Iran over their nuclear weapons programme.

Refusing to discuss the exact terms of the debt settlement, Mr Cleverly told the BBC R4 Today programme: “We have ensured that the money is for exclusively humanitarian purposes, that it abides by those international sanctions and international laws.”

Asked if Covid vaccines may have been involved, he refused to be drawn but sources have told The Standard that they were not part of the deal - although they added Iran could choose to spend the money on a range of humanitarian causes, including medicines.

Finding a way to repay the debt was one of the key breakthroughs which helped smooth the return to the UK of Mrs Zaghari-Ratcliffe and Anoosheh Ashouri and the release from jail on furlough of Morad Tahbaz

Ms Truss challenged Foreign Office officials to “think creatively” about how the debt could be repaid and also simplified the process, seeking to disentangle Britain’s dispute with Iran from wider global sanctions complications.

The change of regime in Tehran last August also led to a reset in relations between the UK and Iran.

Officials said Ms Truss prioritised building a relationship with Iran’s Foreign Minister Hossein Amir-Abdollahian and that a key meeting at the United Nations General Assembly in New York last autumn helped set the ball rolling on a deal.

The role played by Oman and its Foreign Minister Sayid Badr Albusaidi was also said to be crucial because of the country’s good links with London and Tehran.

But two major geopolitical shifts also helped pave the way for an agreement.

Firstly the renewed push from the US and its allies to secure a new nuclear deal with Iran made it easier for Britain to negotiate a settlement.

And second: Russia’s invasion of Ukraine and the subsequent squeeze on international oil supplies have made the need for better relations with Iran, OPEC’s second biggest oil exporter, even more important.

Mrs Zaghari-Ratcliffe’s local MP Tulip Sidiq said: “The stars did align but I also think there was a slight lack of will on the part of the Government for a long time. It feels like they have come around and FCO officials worked very hard and made the deal happen.”

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