London is being used as a "base for the corrupt assets" of individuals linked to Russian President Vladimir Putin and the Kremlin, the U.K.'s foreign affairs committee said in a report published Monday.
"The use of London as a base for the corrupt assets of Kremlin-connected individuals is now clearly linked to a wider Russian strategy and has implications for our national security," the report, "Moscow's Gold: Russian Corruption in the U.K.," said.
It said that combating dirty money being laundered in the capital by Russians "should be a major U.K. foreign policy priority."
The assets "stored and laundered in London, both directly and indirectly, support President Putin's campaign to subvert the international rules-based system, undermine our allies, and erode the mutually-reinforcing international networks that support U.K. foreign policy," the committee said.
However, it said that the U.K. was itself guilty of "turning a blind eye to London's role in hiding the proceeds of Kremlin-connected corruption." This risked "signaling that the U.K. is not serious about confronting the full spectrum of President Putin's offensive measures."
Instead, the report insisted that Downing Street needed to set out a more "coherent and pro-active strategy on Russia," led by the Foreign and Commonwealth Office and co-ordinated across the whole of government, "that clearly links together the diplomatic, military and financial tools that the U.K. can use to counter Russian state aggression."