Iran Banking Curbs Are Imposed by U.K. on Concerns Over Nuclear Ambitions

Chancellor of the Exchequer George Osborne banned all U.K. financial institutions from doing business with Iranian counterparts including the central bank, the Treasury said.

The move comes after the United Nations atomic agency announced on Nov. 8 that it had information inspectors deemed “credible” showing that Iranian scientists worked on nuclear- weapon components until at least 2010.

“I have today taken action to impose further financial restrictions against Iran,” Osborne said in a statement released by his office in London. “We believe that the Iranian regime’s actions pose a significant threat to the U.K.’s national security and the international community. Today’s announcement is a further step to preventing the Iranian regime from acquiring nuclear weapons.”

Osborne said the action was taken in coordination with other countries. U.S. Treasury Secretary Timothy Geithner and Secretary of State Hillary Clinton will outline the steps the U.S. is taking to increase pressure on Iran at 4:30 p.m. eastern time, the Treasury Department in Washington said in a statement.

The International Atomic Energy Agency’s 35-nation board last week delivered its first rebuke of Iran in two years, expressing “deep and increasing concern” about atomic-bomb work alleged to have taken place. Iran has dismissed the charges, called the evidence fake and said it only wants atomic power.

To contact the reporter on this story: Gonzalo Vina in London at gvina@bloomberg.net

To contact the editor responsible for this story: James Hertling at jhertling@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.