Keir Starmer Set to Pledge £9bn to Mauritius Amid Chagos Islands Controversy

Prime Minister Sir Keir Starmer is poised to hand over sovereignty of the Chagos Islands to Mauritius this week, in a historic move that critics warn could cost taxpayers billions and jeopardise national security.

The agreement, expected to be formalised during a “virtual signing ceremony” on Thursday with Mauritian officials, will see the UK relinquish control of the British Indian Ocean Territory (BIOT), including the strategic US-UK military base on Diego Garcia.

In return, the UK will reportedly lease back the base and make significant financial contributions to Mauritius under a long-term agreement. While the Foreign Office has not publicly disclosed the full terms, sources suggest the deal will include a substantial up-front payment, an annual rental fee for continued military access, and the creation of a new “Chagos fund” to support Mauritian development.

Estimates circulating in the press suggest the total cost of the agreement could reach as much as £9 billion, although the government has yet to confirm the figure, according to the Daily Express.

The move would represent the most significant loss of British overseas territory since the transfer of Hong Kong to China in 1997. The UK government has argued that international legal rulings — including an advisory opinion from the International Court of Justice — leave it with little choice but to transfer sovereignty to Mauritius.

However, the deal has drawn sharp criticism from opposition MPs and defence experts. Concerns have centred on the security implications of leasing back a base that is currently under British jurisdiction, and the emerging geopolitical ties between Mauritius and adversarial nations.

In the Commons this week, Shadow Defence Secretary James Cartlidge raised alarm over recent reports that Mauritius and Russia had agreed to strengthen cooperation on fisheries and maritime issues.

He told Parliament: “The Secretary of State will no doubt share my profound concern at reports that last week Mauritius and Russia agreed to deepen their cooperation on fisheries and other maritime issues.

“Doesn’t this show that Labour’s policy of spending billions renting back a military base we already own is not only a waste of taxpayers’ money, but a major risk to our national security?”

Defence Secretary John Healey defended the government’s approach, stating: “No, it shows that when we were elected last summer, we inherited a situation where there were increasing questions, increasing jeopardy over the continuing sovereignty, our operational sovereignty, of that Diego Garcia base. That’s why we’ve been taking the action since then.”

The final terms of the deal are expected to be announced following the signing ceremony.

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(Credit: PA Wire)