Putin’s refusal to compromise on Ukraine, say analysts, is a colossal error costing Russia regional influence, lucrative energy markets and its place in the world.

Officials have warned Russian President Vladimir Putin that a demographic crisis could mean the country he leads will be short millions of workers by the end of the decade.

A former Russian prime minister has said Vladimir Putin may be forced to agree a peace deal to end the war with Ukraine by the end of the year. Mikhail Kasyanov said Russia’s “contracting” economy meant the country’s president may have no option but to seek a settlement to stop the hostilities.