The European Union has taken a strong step by freezing €210bn (£185bn) of Russia’s sovereign assets indefinitely. This move aims to help Ukraine defend itself against Russia's aggression. European Council president António Costa confirmed that EU leaders are keeping Russian assets frozen until Russia stops its war in Ukraine and pays for damages caused. Previously, sanctions on these assets had to be renewed every six months, risking veto by friendly governments like Hungary. Now, the freeze is open-ended. Shortly before this announcement, Russia’s central bank filed a lawsuit against Euroclear. Euroclear, based in Brussels, holds most of the frozen Russian money. Russia claims Euroclear’s “illegal actions” hurt its ability to manage funds. Euroclear is defending over 100 legal claims in Russia but did not comment on the lawsuit. Last week, the European Commission proposed a €90bn (£79bn) loan for Ukraine, using these frozen Russian assets as security. Belgium, however, has blocked this plan, fearing Russian lawsuits and asset seizures there. Belgium’s Prime Minister Bart De Wever met UK Labour leader Keir Starmer to discuss this and agreed to work together on this complex issue. The EU summit next week will focus on decisions for funding Ukraine in 2026-27. Kyiv risks running out of money to pay for defence and essential services by next spring. EU officials say the proposed €90bn will cover two-thirds of Ukraine’s needs for two years, hoping other partners will cover the rest. Belgium demands guarantees that it won't face huge costs if sued by Russia. De Wever opposes the loan plan, saying it breaks international law and risks the euro’s stability. Belgium, Bulgaria, Malta, and Italy insist only EU leaders should decide how to use frozen assets and want alternative legal options. Belgium suggests borrowing on open capital markets instead, secured by unused EU budget funds. But many EU states prefer the frozen assets plan. Germany supports it and promised €50bn in guarantees for Belgium. EU officials believe the legal risk for Euroclear and Belgium is low. Under the plan, the EU would borrow from Euroclear and lend this to Ukraine. Russia keeps ownership of the assets while Ukraine repays only if it gets war reparations from Russia. The UK, holding €27bn (£23bn) in frozen Russian assets, backs this idea. Some G7 countries may also join. The US, holding €4bn (£3.5bn), is uncertain about participating.