Nato Leaders To Unveil Tough Russia Sanctions

By Alistair Bunkall, Defence Correspondent

Tough new measures designed to halt Russian aggression in Ukraine will be unveiled on the second and final day of the Nato summit in Wales.

The United States and European Union are due to announce a new round of co-ordinated economic sanctions against Russia, US and British government sources have reported.

These are set to include restrictions on some of the country's all-important energy firms and travel restrictions.

But it comes amid reports of further fighting to the east of the port of Mariupol in eastern Ukraine, hours before Ukrainian, Russian and European envoys are expected to back a peace plan and a ceasefire.

Mayor of Mariupol, Yuri Khotlubey, told Ukraine's 112 TV channel: "Our artillery has come and is being deployed against the (pro-Russian) rebels.

Nato says thousands of Russian troops are in Ukraine

A commander of a Ukrainian volunteer militia based in Mariupol told Reuters news agency: "We were under fire all night but we are still keeping the rebels at bay. They are facing us with tanks and artillery."

Western leaders accuse Russia of sending thousands of troops into the east of the country.

Speaking on the sidelines of the summit on Thursday, deputy White House national security adviser Ben Rhodes said Russia would pay a price for its actions.

""The key point is that Russia must continue to face costs for its own escalation.

"If Russia escalates, we can escalate our pressure."

Nato Secretary General Anders Fogh Rasmussen has warned that Russia's incursion poses the most serious security threat to Europe since the Cold War, although Moscow has consistently denied direct military involvement.

Nato wants Iraq to request military training support

Nato is also expected to finalise plans for a Rapid Reaction Force that can deploy to Eastern Europe on 48 hours notice.

This will include pre-positioning logistic and planning support in Baltic countries, and the provision vital equipment.

Nato insists this does not breach a 1997 agreement not to create permanent bases near the Russian border.

The announcements will come a day after British Prime Minister David Cameron, US President Barack Obama and other senior Nato leaders met Ukrainian President Petro Poroshenko.

Mr Poroshenko has announced plans to order a ceasefire, provided a peace plan is agreed during separate talks in Minsk, attended by representatives from Ukraine, Russia and pro-Russian rebel forces. 

Russian President Vladimir Putin has also expressed hopes a truce will come into force later, two days after he unveiled his own seven-point peace plan.

Alongside Ukraine, Nato leaders will use the final day of the summit to discuss the threat posed by Islamic State extremists in Iraq and Syria.

The alliance leaders met for a formal dinner at Cardiff Castle last night.

Mr Obama is trying to bring together a coalition of nations and it is becoming increasingly likely the UK will authorise airstrikes against IS in northern Iraq.

But for any operation to be effective, it needs the support and involvement of countries in the region.

Nato is encouraging Iraq to request training support for its military although it will not go further and involve itself in a combat mission.

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