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The UK operations of VTB Capital (London arm) remain under an administration process managed by Teneo, which has formally extended until 5 December 2029 the winding down of the entity first shuttered following the imposition of UK sanctions in March 2022. This reflects the legal, financial, and creditor complexity of disentangling its obligations after the war in Ukraine triggered its operational shutdown. ([fnlondon.com](https://www.fnlondon.com/articles/vtb-capital-shells-out-3-3m-on-12-uk-employees-in-2025-e395b2a8source=openai))
Core staffing—and related costs—remain significant levers in this process. The firm has retained 12 key employees, many part‐time, to manage creditor interactions, legal proceedings, and outstanding contracts; their compensation in 2024 was nearly £10 million, with £3.3 million paid in the first half of 2025. These payouts average close to £780,000 per retained employee annually when extrapolated. ([fnlondon.com](https://www.fnlondon.com/articles/vtb-capital-shells-out-10m-on-12-city-employees-as-wind-down-extended-until-2029-0c0387casource=openai))
Creditors and dividend disputes present material risk. With 357 creditor claims totaling ~£1.2 billion, the administrators must evaluate rankings, treaty enforcement, and legitimacy of claims while facing challenge from VTB’s parent arm in relation to scheduled dividend payments. The outcomes in these legal engagements will significantly impact ultimate recoveries. ([fnlondon.com](https://www.fnlondon.com/articles/vtb-capital-shells-out-3-3m-on-12-uk-employees-in-2025-e395b2a8source=openai))
Operating overhead and administration fees also weigh heavily. Having vacated its 14 Cornhill HQ in March 2025 and moved between premises—most recently scheduled to move to 9 St Andrews Street—VTB has incurred over £32.6 million in administrative fees since 2022, including £8.3 million in 2025 alone. This level of cost reduces net value available to satisfy creditor claims. ([fnlondon.com](https://www.fnlondon.com/articles/vtb-capital-shells-out-32m-on-a-handful-of-london-staff-as-administration-rolls-on-75656233source=openai))
Strategic implications include:
- For creditors, timing and quantum of recoveries will depend on meaningfully resolving legal disputes and the order of claims.
- The retention of a high‐paid, small core team while cutting hours and preparing for further exits suggests the process may accelerate staff reductions, reducing expense but risking knowledge‐attrition.
- Extension to 2029 imposes prolonged uncertainty for staff, landlords, creditors, and possibly regulators—as well as continued administrative friction and costs.
- Any dividends or distributions must navigate challenges from parent company and compliance with legal constraints; missteps could trigger litigation or regulatory oversight.
Open questions remain:
- How will the dispute with VTB parent affect the timing and size of any potential dividends or payments to unsecured vs. secured creditors?
- What is the timeline and criteria for further staff exits and cost reductions; how will that affect wind-down efficiency?
- Are there planned sales or transfers of assets/networks that might alter the value pool for creditors?
- How certain is the December 2029 date—might uncertainty or new obstacles extend it further?
