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Chagos deal backlash: UK under fire over £30 billion payout

People demonstrate outside the High Court in London, May 22, 2025, after a British court blocked the U.K. from transferring sovereignty over the Chagos Islands to Mauritius.   -  
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Chagos

The Chagos Island deal is still creating tension in the UK, with some lawmakers questioning the motive behind the government's actions, which include agreeing to hand over the island to Mauritius.

It has emerged that the deal will fund sweeping tax cuts in Mauritius.

Under the agreement, the U.K. will pay Mauritius an average of $136 million a year to lease back the base for at least 99 years.

"This morning, we heard that Mauritius is scrapping income tax because of his terrible Chagos Deal. Why on earth should the British taxpayer pay £30 billion for tax cuts in Mauritius?" asked Kemi Badenoch, the UK Opposition Leader.

Meanwhile, the United Nations has urged the UK to renegotiate the deal with Mauritius, as it fails to guarantee the rights of the Chagossian people.

In a statement, the UN wrote that maintaining a foreign military presence of the United Kingdom and the United States on Diego Garcia and preventing the Chagossian people from returning… the agreement appears to be at variance with the Chagossians' right to return.