UK to review Chagos deal after Trump tells Burnham it is 'terrible'
Britain has halted the €139 million‑a‑year lease payments it was due to make to Mauritius for the Diego Garcia military base while senior officials re‑examine the broader Chagos Islands hand‑over agreement. The move follows a blunt rebuke from U.S. President Donald Trump, who told newly‑elected Prime Minister Andy Burnham on the sidelines of the United Nations General Assembly that the deal was “terrible”. Burnham acknowledged Trump’s criticism and pledged to work with Washington to reshape the arrangement, while Defence Secretary Wes Streeting confirmed that the annual payments – at least £120 million – would not be made “at this stage”. The original pact, struck last year between former Labour leader Keir Starmer and Mauritius, would return sovereignty over the Chagos archipelago to the former colony and then lease the strategically vital Diego Garcia base back to the UK and the United States for 99 years, with an option to extend.
The suspension reflects deepening friction between London and Washington over the legality and security implications of the Chagos settlement. International legal rulings, including a 2019 International Court of Justice opinion, have declared Britain’s original detachment of the islands from Mauritius unlawful, prompting the UK to seek a negotiated solution that preserves U.S. access to the base. Trump, who initially supported the pact, has since labeled it “an act of great stupidity”, signalling that his administration will not endorse the current terms. Conservative opposition spokesman James Cartlidge called for the deal to be scrapped entirely, while Streeting warned against an “ostrich strategy” that ignores the security stakes of the world’s most sensitive military asset.
Analysts suggest the dispute could become a diplomatic burden for Burnham as he balances the Chagos issue against broader foreign‑policy priorities such as AI regulation, Ukraine, and Middle‑East tensions. Senior researcher Jack Pannell noted that the prime minister’s success may hinge on preventing the Chagos matter from becoming a “millstone around his neck” while he pursues domestic and international agendas. Meanwhile, Trump’s agenda in New York also included signing a security pact with Greenland and Denmark to permit U.S. bases in Greenland, underscoring the administration’s broader strategic focus even as the Chagos negotiations stall.
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🌍World Economy
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🏙️Local Economy
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🏠Housing
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