Ukraine war: Portsmouth's council agrees to cancel city's contract with Gazprom
and live on Freeview channel 276
Councillors supported the use of a break clause to end the deal two years' early, in response to the Russian invasion of Ukraine.
'Along many other organisations, we find ourselves with a contract with Gazprom who we don't wish to be associated with,' council leader Gerald Vernon-Jackson said. 'We hope there is action on this quickly from government but if not...we want to get out at the earliest possible opportunity.'
Advertisement
Hide AdAdvertisement
Hide AdThe council will be charged £57,000 in penalty fees for ending the contract in September, rather than letting it run until 2024.
The contract had been estimated to be worth almost £5.5m and would have seen Gazprom supply gas to all council-owned buildings in the city.
Gazprom supplies about 20 per cent of the non-domestic gas market in the UK through its British subsidiary, including to a number of local authorities and NHS bodies.
Cllr Vernon-Jackson said he had approached the government and Ofgem to take action against the firm, allowing the contract to be ended even sooner.