Co-op Denies Will-Writing Service Over Customer’s Russian Birth

A customer has reported a troubling experience with the Co-operative Group’s will-writing service, citing discrimination based on their place of birth. The individual, identified only as AK from London, sought to update a will established in 2020 that names their partner and daughter as beneficiaries. After two months of no communication, they learned that their request had been cancelled due to their Russian birthplace, despite having renounced their Russian citizenship in 1999 and holding dual British and German nationality.

Following the cancellation, AK contacted the Co-op, and an adviser confirmed that they had no financial ties to Russia. An appointment was subsequently rebooked. However, on the scheduled day, the appointment was again cancelled, this time described as an “error.” When AK called to follow up, the appointment was rescheduled for the following day, but the call ended abruptly.

The Co-op later informed AK that they had received “specialist legal advice” instructing them not to provide services to anyone born in Russia, regardless of their current citizenship status. This raises questions regarding the legality of denying services based solely on a person’s birthplace.

Since Russia’s invasion of Ukraine, the UK has imposed stringent financial sanctions aimed at individuals and entities connected to the Russian government. These regulations carry severe consequences, including potential imprisonment for breaches. Many financial institutions and legal firms have adopted a cautious approach, leading to increased scrutiny of customers with any Russian ties.

The UK government has made it clear that individuals who are not listed under sanctions or connected to designated persons should not face barriers to financial and legal services. Nevertheless, AK was asked to provide proof of renunciation of their Russian citizenship, a request they found problematic on principle. They argued that citizenship alone should not trigger sanctions and noted that the Co-op had not adequately explained its requirements.

AK’s updated will would distribute their assets to family members who are not Russian, yet the Co-op has taken a “no-risk” stance, citing the need for thorough due diligence to comply with regulatory demands. A spokesperson for the Co-op stated, “If breached, the Russia regulations hold serious consequences for a business and those it employs.”

In response to inquiries about the legality of such discrimination, HM Treasury indicated that its regulations prioritize the customer’s current location over their birthplace. However, it ultimately leaves it to companies to determine compliance measures and customer eligibility.

Though it is unfortunate that AK is facing challenges due to their place of birth, it appears they may need to provide the requested documentation to proceed with their will. As the situation unfolds, it highlights the complexities and potential repercussions of sanctions affecting individuals far removed from the conflict.

For further assistance or to share similar experiences, individuals are encouraged to contact the editorial team at the Guardian through [email protected] or write to Consumer Champions, Money, the Guardian, 90 York Way, London N1 9GU.