UK to Review Chagos Islands Deal over Lack of US Support, Streeting Tells BBC
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UK to review its deal to hand over the Chagos Islands to Mauritius, defence secretary Wes Streeting confirms.
Image source: Getty
Image caption: A strategic military base is located on the Chagos archipelago's largest island, Diego Garcia
By Ewan Somerville
Political reporter
Published 23 September 2026, 08:13 BST
Updated 3 minutes ago
The UK is reviewing its agreement to cede sovereignty of the Chagos Islands to Mauritius following US President Donald Trump's criticism at the UN General Assembly.
Wes Streeting confirmed the move after Trump described the deal as "terrible" on Tuesday.
Initially, the UK agreed to hand over the territory and pay an average of £101m ($136m) per year to lease back a joint UK-US military base on Diego Garcia Island—highly valued for its strategic location in the Indian Ocean.
In April, the agreement was paused indefinitely due to Trump's withdrawal of support. Streeting stated that "we have to" reassess the deal because the US no longer endorses it:
“What President Trump said yesterday wasn’t new but I think it does provide absolute clarity that his position on this Chagos deal as currently drafted is not changing.”
He added, "So we have to do more work with our American allies...to get the deal to a place where he can support it."
The focus will be ensuring long-term security for the base on Diego Garcia. Streeting noted that every UK prime minister since Boris Johnson has argued that ongoing legal disputes risk the base's security, as Mauritius argues they were illegally forced to cede the islands in 1965 upon gaining independence.
During Trump’s first meeting with Prime Minister Andy Burnham at the UN General Assembly, Trump criticized the "terrible deal." Burnham acknowledged the need for a resolution.
Prior to the April pause, the UK and Mauritius had signed an agreement in May 2025; however, the final draft of the bill transferring sovereignty of the islands did not pass Parliament.
Under the terms of that deal, Britain would hand over the Chagos Islands archipelago to Mauritius but lease back Diego Garcia for 99 years at a total cost of £3.4bn (according to official figures). However, critics argued that the real cost could be about £35bn, adjusted for inflation, and expressed concerns that it might allow China to establish a presence on the islands.
Trump has consistently criticized the deal, previously describing it as "a blight on our great ally" and an “act of total weakness.”
Conservative leader Kemi Badenoch called on Burnham to "just scrap this disastrous deal."