Russia needs money to fight - but economic pressure is growingpublished at 17:00 GMT

17:00 GMT

published at 02:00

02:00

Steve Rosenberg
Russia editor

I’ve said before that, in many ways, Vladimir Putin reminds me of a car with no brakes, no steering wheel and no reverse gear; a vehicle careering full speed down the motorway.

Nearly four years after the full-scale invasion of Ukraine there is still no sign of the "Putinmobile" turning off, turning back, or coming to a halt.

He certainly wants his opponents to think that nothing or no-one can force him to change direction: neither European leaders, nor the Trump administration, nor President Zelensky.

But cars need fuel - a constant supply.

And, to fight a war, countries need money - a constant supply.

For now, despite international sanctions, Russia’s government is still able to finance the "special military operation", its war on Ukraine. But economic pressures are building: revenues from oil and gas have been falling, the budget deficit growing.

Even Vladimir Putin admits there are problems, referring to "imbalances in the economy".

"In several sectors, production output not only failed to increase this year but actually decreased,” President Putin said this week. “Are we satisfied with such trends? No."

The big unknown: at what point, if at all, will economic concerns start to influence the Kremlin’s calculations on the battlefield?

No Kremlin compromise on peace talks is no real surprisepublished at 16:49 GMT

16:49 GMT

published at 01:49

01:49

Steve Rosenberg
Russia editor

What does the latest round of diplomacy on Ukraine tell us about Vladimir Putin’s mood and intentions?

For starters, that he’s not ready to sign a peace deal. At least, not right now.

And certainly not the deal - or deals - on the table.

“No compromise version has yet been found,” commented Kremlin foreign policy aide Yuri Ushakov after five hours of talks in Moscow involving President Putin, Steve Witkoff and Jared Kushner.

No compromise is no real surprise, considering the Kremlin leader’s uncompromising comments in recent days. In various statements he has condemned the Ukrainian leadership as a “thieving junta”, accused European leaders of trying to sabotage peace efforts and insisted that Russia holds the initiative on the battlefield.

On a couple of recent occasions Russian TV showed Putin in military fatigues, studying maps of the front line, and trumpeting military gains.

After nearly four years of Russia’s war on Ukraine, despite the heavy losses Russia has suffered on the battlefield and the damage to the Russian economy, President Putin seems convinced that he is winning this war and that now is not the moment to stop.

At least, that is what he would like the West to believe: that nothing can stop him now from achieving his goals.

Trump may seek new approach amid frustration at lack of immediate progresspublished at 16:37 GMT

16:37 GMT

published at 01:37

01:37

Bernd Debusmann Jr
Reporting from the White House

Image source, EPA

Just over a week ago, US President Donald Trump suggested the warring parties could potentially be on the verge of a deal.

"Is it really possible that big progress is being made in peace talks between Russia and Ukraine?" he wrote on 24 November. "Don't believe it until you see it, but something good just may be happening."

But a five-hour meeting between Moscow's representatives and those sent by the White House - Steve Witkoff and Jared Kushner - has led to little visible progress, even though Kremlin adviser Yuri Ushakov described the talks as "very positive".

For the White House, the lack of any immediate progress will be seen as a frustration. For Trump, the war in Ukraine remains the administration's greatest pending foreign policy challenge.

The US president and his team will now also face questions about how the talks have been handled.

Some US lawmakers - both Democrats and Republicans - have already questioned Witkoff's actions, with some saying he is too swayed by Russia's negotiating position.

So far, Trump has stood behind his envoys. But a continued lack of progress may mean the White House could look at a new approach.

Image source, Reuters

United Nations secretary general Antonio Guterres is urging those involved in Ukraine peace talks not to forget the principles of international law as the debate over territory drags on.

"First, it was Russia that invaded Ukraine, not the other way around. And second, when we look at the conflict, the solution of the conflict should abide by international law, which means the charter, and which means the respect for the territorial integrity of states," Guterres says in an interview with Reuters.

Russia's annexation of Ukrainian territories have been condemned and declared illegal under international law. Putin, however, claims they are now Russian territory.

"The violation of these rules is extremely dangerous because everywhere in the world people will feel that they can do whatever they want because international law doesn't matter anymore," Guterres says.

"I hope that the way the negotiations end will respect these principles, even if I understand that that will not be easy.”

Ukrainian prime minister Yulia Svyrydenko has welcomed the European Union's proposal to use frozen Russian assets to finance Ukraine.

Yulia Svyrydenko described the proposal set out by Ursula von der Leyen earlier as "an important and responsible step forward" that "strengthens Ukraine’s path toward full European integration".

Svyrydenko thanked the European Commission president, who today announced a package worth £79bn where frozen Russian assets would cover "two thirds of Ukraine's financing needs" for the next two years.

"We look forward to continued close cooperation with all EU Member States and to the European Council’s final endorsement," Svyrydenko said.

Image source, Reuters

In an update on the progress of the peace talks, Ukrainian Foreign Minister Andrii Sybiha says US envoy Steve Witkoff spoke to the head of the Ukrainian delegation, Rustem Umerov, after his visit to Moscow.

Sybiha tells reporters in Brussels the pair spoke via phone, and "for security reasons, it is difficult to imagine that the details of this meeting [in Moscow] were discussed" given the sensitive nature of ongoing talks.

"What the representatives of the American delegation reported is that in their assessment, the talks in Moscow were of positive significance for the peace process," Sybiha says.

"This is their assessment. And they invited the Ukrainian delegation to continue our talks in America in the near future."

As Europe is sidelined by US, dissent grows in Italypublished at 15:38 GMT

15:38 GMT

published at 00:38

00:38

Sarah Rainsford
Southern and Eastern Europe correspondent, reporting from Rome

Image source, EPA

Mocked and threatened by Vladimir Putin and increasingly sidelined by the US, Europe insists its support for Ukraine is solid and united.

Its new “landmark” agreement to “turn off the taps forever” on Russian gas flowing into the EU is part of demonstrating that - finally halting the reverse flow of billions of euros from the EU that have been helping to fund Russia’s war machine.

The deal has taken almost four years, though, and won’t kick in for another 12 months, at least.

Nato chief Mark Rutte assured in his press conference that two-thirds of Nato allies had signed up to the PURL (Prioritised Ukraine Requirements List) mechanism for funding ongoing weapons purchases for Ukraine from the US.

But Italy’s Prime Minister Giorgia Meloni has said that she won’t commit to that “for now”. While she’s long been a firm ally of Ukraine, dissenting voices here have grown louder - emboldened, it seems, by the rhetoric of Donald Trump’s White House.

This week, Deputy PM Matteo Salvini, of Italy's far-right League party, said that he “dreams” of restoring relations with Russia, warned about corruption in Kyiv and argued there’s “no need” to buy more weapons for Ukraine when the US is pushing for a peace deal.

Officials in Rome have now confirmed there's a delay in extending authorisation to continue sending military equipment to Kyiv, although the current decree is still valid for a few more weeks.

Image source, Getty Images

We've just heard Nato chief Mark Rutte after the bloc's foreign ministers met in Brussels to discuss Ukraine. Here's the six takeaways from Rutte's time at the lectern:

• He warns against Russia's "increasingly reckless behaviour" through cyber attacks and airspace violations, and repeats Nato allies must move to investing 5% GDP in defence spending

• "There is only one person in the whole world who is able to break the deadlock... That is the American President Donald J Trump," he says, praising Trump's team's efforts to meet with Putin's advisers
• He says Vladimir Putin believes he can "outlast" Nato but tells the Russian leader that today's show of support for Ukraine proves he is "wrong". "We're not going anywhere," he says
• Two thirds of allies have signed up to a weapons supply scheme for Ukraine, he says
• He expresses confidence at the EU's proposal to use frozen Russian assets to help Ukraine, after Ursula Von Der Leyen announced a package worth £79bn
• He refuses to answer whether peace talks on Ukraine between the US and Russia are progressing

Rutte is asked whether Russia has moved any closer to the Ukrainian position in securing a peace deal in recent days, thanks to meetings with US officials.

He says he respects the question, but he refuses to answer as he thinks it's better for him not to comment on the process.

Rutte is also asked what the next steps should be from Nato and the EU to ensure that, at some point, Russia and Ukraine will both sit at the negotiating table.

"We have to continue the pressure on Russia," Rutte says, even though we do not know whether the peace process will lead to a successful outcome.

He says this includes continuing the flow of weapons to Ukraine and economic pressure to ensure Putin understands there is no way out and he will have to compromise.

Image source, Reuters

Rutte is now asked about the steps countries are taking to strengthen their military capabilities - including conscription, extending service duration, and including women in mobilisation plans.

He's asked whether this reflects preparations to secure long-term peace in Europe.

Rutte says Russia is spending 40% of its state budget on defence. "We have to react," he adds.

This includes the 5% defence pledge for Nato members, and making sure the defence industry can deliver the output necessary, Rutte says.

"Specific decisions" - including on issues like who is in uniform - are up to each individual country, he says.

Rutte is asked by a journalists about "brazen attacks" attributed to Russia, including an explosion on a Polish railway, and what concrete steps Nato is taking to prevent these escalating attacks.

As a reminder, last month there was an explosion on a railway line in Poland - a Nato member - approaching the Ukraine border. Poland's prime minister Donald Tusk called it "an unprecedented act of sabotage".

These attacks are "extremely reckless and totally unacceptable," says Rutte.

He says it is up to Nato's intelligence services, as well as Poland, to find out more about such attacks.

Nato will "do more" with PURL in response to such attacks.

"We will act in a way of our own choosing and they will feel it," says Rutte.

Rutte is asked about the use of frozen Russian assets to help the Ukraine war and reconstruction efforts.

This follows an announcement by European Commission president Ursula von der Leyen to use frozen assets to cover Ukraine's financing needs.

Rutte replies that the discussion is playing out with EU mainly, and “if that is not happening, we need to get the money in another way".

He adds that he has full confidence in the EU leadership to steer that discussion.

Rutte is asked about critcism of "uneven burden sharing" under the PURL programme - which is an initiative launched by the US and Nato to supply weapons to Ukraine.

He says there is "only a handful of nations" not yet committed to the scheme, and that "two thirds" of allies are now signed on.

He says burden sharing is "in a much better place" now and Nato has been able to provide Ukraine with a "sustained flow of weapons".

This puts pressure on Russia and sends a signal that "we are not going away" while ensuring Ukraine is supported, he says.

Rutte is asked by a journalist from an Italian news agency whether the Kremlin is trying to derail US sanctions on Russia, as it appears to have said 'no' to the latest US proposals to end the war in Ukraine.

Rutte responds that there is only one person in the whole world who is able to break deadlock when it comes to the war in Ukraine and that is Donald Trump.

He says Trump has been engaged in securing a peace deal since February and he still is, along with other key players in the US.

But he says getting this peace deal, as Trump said, is "not something in a straight line all in one go" and it will be a "step by step approach".

He says "the last thing I want to do is make it more difficult to get to a deal by commenting on every in-between step".

Now the floor is opened to questions from journalists.

Allies agreed a few years ago that Russia was the most significant and direct threat to Nato allies' security, a Reuters journalist says.

She asks Rutte whether this is still the case - and whether the US still shares this assessment.

Rutte replies by saying there is "no reason to debate the outcome of the strategic concept", adding that all allies are "completely committed to that thinking".

Image source, Reuters

Rutte says Nato's support is making a difference on the ground, including air defence to help Ukraine hold the front line and protect its people.

He goes on to say that Ukraine continues to show "incredible resillience".

"Putin believes he can outlast us, but we are not going anywhere," he says.

Today is "another clear sign that he [Putin] is wrong", says Rutte, after ministers discussed commitments to increase defence spending and enhance support for Ukraine.

"Nobody wants more peace more than Ukraine," Rutte tells those at the press conference.

He reiterates Nato's willingness to "do what it takes" to protect and secure its territory and people.

That said, Rutte now moves on to questions from the press.

The media conference with Nato Secretary General Mark Rutte has started. He warns of the "real and lasting dangers" Europe faces from Russia.

He says that Nato needs "unwavering vigilance" in the face of Russia's "increasingly reckless behaviour" towards Nato through violations of airspace and cyber attacks.

He adds that allies "must do more" and pull their weight, which is why ministers discussed their plans to invest "5% of GDP annually" in defence spending.

Rutte adds that every inch of Nato territory must be defended.

• For context: at the 2025 Nato summit in The Hague, Nato countries pledged to be investing 5% of their GDP on defence by 2035.

Image source, EPA

We're expecting to hear from Nato Secretary General Mark Rutte at a media conference scheduled to begin at 14:30 GMT.

He's in Brussels, where he's meeting Nato foreign ministers.

We'll be bringing you all the key lines here, and a reminder that you'll be able to watch live at the top of the page.

Image source, PA Media

President Volodymyr Zelensky says that the Ukrainian parliament's approval of its 2026 budget - which it did earlier today - is "clear evidence" for all allies that there are "no internal grounds for instability" in Ukraine.

In the statement on Telegram, he says the budget's passage is an "important signal of Ukraine's stability and stable financial provision" for the next year - adding that he is working with partners to attract the necessary financial support for Ukraine.

Zelensky's comments come at a rocky time for the Ukrainian government, with his chief of staff Andriy Yermak resigning just days ago following an anti-corruption raid on his home.

In recent weeks there's been renewed momentum in efforts to negotiate an end to the war in Ukraine. Let's break down the key moments:

19 November: Details of a 28-point US plan are leaked after reports surfaced that the US and Russia had prepared a new proposed framework to end the war, requiring major concessions from Ukraine.

21 November: Ukrainian President Volodymyr Zelensky warns his country "might face a very difficult choice: either losing dignity, or risk losing a key partner". Putin says the plan could form the basis of a peace agreement, and describes it as a ”modernised” version of a plan discussed with Trump at a summit in Alaska in August.

22 November: Trump says the plan is not his “final offer” after Ukrainian allies express concern.

23-24 November: Senior Ukrainian and US officials meet in Geneva and hold what both sides describe as “highly productive” talks. Reports emerge of a counter proposal from Ukraine’s European allies.

26 November: Trump defends envoy Steve Witkoff after a leaked recording appears to show him advising a Russian official on how to appeal to the US president.

27 November: A US deadline for Ukraine to accept the plan passes without incident or agreement. Putin doubles down on his core demands, and Zelensky accuses Russia of having “scorned” efforts to “truly end the war”.

28 November: Zelensky’s chief of staff, Andriy Yermak, who had played a leading role in the negotiations, resigns following an anti-corruption raid on his home.

30 November: The US holds talks with Ukraine’s new lead negotiator, Rustem Umerov, in Florida.

2 December: Witkoff and external adviser Jared Kushner hold talks with Putin, Yuri Ushakov and Kirill Dmitriev at the Kremlin.

3 December: Kremlin spokesman Dmitry Peskov says "it wouldn't be correct" to say that President Putin rejected US proposals for peace during the talks.