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A deal to hand the Chagos Islands to Mauritius is being ‘finalised’ after winning approval from Donald Trump’s US, Downing Street said. The plan will see the UK give up sovereignty over the British Indian Ocean Territory but pay to lease back the strategically important Diego Garcia military base, which is used by the US. Discussions are ongoing between the UK and the Mauritian government over the terms of the deal. ‘The finalisation of the deal is ongoing,’ the prime minister’s official spokesman said. US President Trump indicated his backing for the deal during Keir Starmer’s visit to Washington in February, saying: ‘I have a feeling it’s going to work out very well’. The prime minister’s official spokesman said: ‘You will have seen from the president that he recognised the strength of the deal. ‘I think we are now working with the Mauritian government to finalise the deal and sign the treaty. ‘My understanding is it’s now between us and the Mauritian government to finalise the deal, following the discussions with the US.’ A deal was initially announced last year, but a change of administration in Mauritius and the return of Trump to the White House put an agreement in doubt. The government has argued that it has to give up sovereignty over the territory due to international legal rulings in favour of Mauritius. Reports have suggested the deal could cost £90 million a year to secure the use of Diego Garcia, with payments front-loaded to win the support of the Mauritian government. By David Hughes, PA Political Editor Press Association: News source: PA Copyright 2025 Alliance News Ltd. All Rights Reserved.
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