Chelsea football club could still be sold in the wake of new sanctions placed on Roman Abramovich - but only if a fresh licence is issued by the Treasury.
A licence has been issued for the essential functions of keeping the club running - if it hadn’t, the sanctions would have effectively shut it down with no financial transactions allowed.
It will be for the Treasury to consider a further application for a licence to sell the club, though it is expected that any money made from the sale of the club would not be able to be given to Abramovich or any other sanctioned individual.
As things stand, no such request for that licence has been made.
Government sources tried to dampen down fears Abramovich could donate the proceeds to charity, as that would still require a licence.
It could also involve him being given the proceeds to donate, in breach of the sanction.
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The Prime Minister's deputy official spokesman said today: "The government is open to a sale of the club, but currently it would require another licence and that would require further conversation with the Treasury and other departments."
Should another license be agreed and the sale of the club is permitted, the spokesman added: "In no way could it benefit Roman Abramovich or find its way back to Russia, but it would depend on the detail of the sale."
A statement from the government addressed how this impacts Chelsea, adding: "Chelsea Football Club has been granted a licence by the government to continue operating following the sanctioning of owner Roman Abramovich.
"The licence will allow the club to run a number of football-related activities meaning its fixtures to be fulfilled, its staff and the running costs of its ground can be paid, and so existing ticket holders for Chelsea games can attend matches.
"The licence is a safety net to protect the sport, the Premier League, the wider football pyramid down to the grassroots game, loyal fans and other clubs. It will deprive Mr Abramovich of benefiting from his ownership of the club and mean he cannot circumvent UK sanctions.
"The Government will keep the licence under constant review and it will work closely with the relevant football authorities and the club to protect it from irreparable damage that would prevent it from competing."
It goes on to explain how the actions taken are designed to prevent Abramovich from exploiting potential loopholes in a bid to continue to make money from the club.
"Abramovich had assets frozen this morning as part of a raft of further sanctions against individuals linked to the Russian regime. Freezing his assets means he cannot benefit from his ownership and make any money from Chelsea."
Culture Secretary Nadine Dorries said: “The important measures announced today will clearly have a direct impact on Chelsea FC and its fans but we are working hard to make sure the club and the national game are not unnecessarily harmed.
“We have granted the club a licence so it can fulfil its fixtures, pay its staff and existing ticket holders can attend matches. We know football clubs are cultural assets and we are committed to protecting them.”
A statement from the club on Thursday afternoon said that they "intend to engage in discussions with the UK Government regarding the scope of the licence."
"This will include seeking permission for the licence to be amended in order to allow the Club to operate as normal as possible," the statement read.
"We will also be seeking guidance from the UK Government on the impact of these measures on the Chelsea Foundation and its important work in our communities."
Six other Russian oligarchs were named in the same statement as Abramovich, including Alexei Miller - CEO of energy company Gazprom who formerly sponsored the Champions League.
"We’ve long called for tough sanctions on those linked to the Putin regime including Abramovich," said Lucy Powell MP, Labour’s Shadow Culture Secretary. "Football clubs are vital cultural and community assets and this will clearly have a huge impact on Chelsea.
"The government must set out how it is working with the Premier League to protect the future of the club.
"The government needs to bring forward the recommendations in the fan led review of football, including the fit and proper persons test, so fans and communities can have confidence that the game isn't just a toy for oligarchs.”
