Oral question asked in the House of Lords, by Lord Anderson of Swansea (Labour). It was answered on Monday, 5 March 2007.

Iran: UN Sanctions

Question: My Lords, my noble friend will recall that in the 1980s the most effective pressure on the apartheid regime in South Africa was not public sanctions from the United Nations and the European Union but private sanctions, particularly the refusal of the Chase Manhattan Bank to roll over loans for the apartheid regime. Does he think there are parallels here? Is it true that, as reported, the Foreign Office has counselled banks in the United Kingdom and private institutions against further investment in Iran?

Answer: My Lords, as I said in my Answer, the private sector is no doubt having a real impact on the Iranian economy. I also said that I did not wish to be drawn into the details of the issues we are discussing with our partners, largely because I want to achieve the same unanimity that was achieved around the Security Council resolution. We have a bit of work to do on that, but unanimity on this is what will cause the breakthrough. If some people feel they can splinter away from that position, the Iranian Government need take no account of any of us.

Secondary information