UK Finalizes £101m Annual Agreement for Chagos Islands Transfer

Fri Jul 18 2025 08:38:08 GMT+0300 (Eastern European Summer Time)
UK Finalizes £101m Annual Agreement for Chagos Islands Transfer

Agreement sees UK lease back Diego Garcia military base after ceding control to Mauritius, stirring controversy.


In a significant diplomatic shift, Prime Minister Sir Keir Starmer has formalized a £101 million-a-year deal that transfers sovereignty of the Chagos Islands to Mauritius, while allowing the UK and US to maintain operations at the vital Diego Garcia military base. The agreement, which entails a commitment of £3.4 billion over 99 years, aims to secure the long-term future of the base amid rising tensions and security concerns in the region. Opposition parties have heavily criticized the deal, arguing it compromises national security and risks closer ties with China through Mauritius.

The completed agreement follows the resolution of a last-minute legal challenge from Chagossians, who have voiced deep concerns about their lack of consultation over the islands' future. While Mauritius Prime Minister Navin Ramgoolam calls it a victory, many in the Chagossian community fear their rights and interests will be sidelined under Mauritian control. The Chagos Islands have a complex history, having been separated from Mauritius in 1965, which has led to ongoing debates over sovereignty and justice for displaced islanders.

The UK government insists that the deal is essential for preserving security in the Indo-Pacific region, but its critics, including Conservative leader Kemi Badenoch and Reform UK leader Nigel Farage, warn it could lead to increased vulnerability and a strategic foothold for rival powers such as China. Despite these criticisms, celebrations erupted among some Chagossians in Mauritius as they viewed the agreement as a step towards reclaiming their ancestral lands. Yet, for others, the deal represents an unsettling departure from their desire for self-determination and the right to return.

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