The future of legislation intended to transfer the Chagos Islands to Mauritius has been thrown into doubt following comments from the Defence Secretary.
Dan Jarvis indicated he was "looking very closely at the detail" when questioned about the Government’s plans to cede sovereignty over the British Indian Ocean Territory (BIOT) while retaining control of a military base on Diego Garcia.
Mr Jarvis did not deny that funds previously earmarked for Mauritius, intended for the lease-back of the base, could now be redirected to defence spending, describing it as a "fair question".
This contrasts with previous statements from Downing Street, which insisted that handing sovereignty to Mauritius was "the best way to protect a vital" military base on Diego Garcia.
An agreement between the UK and Mauritius was signed in May last year, and the Bill to conclude London’s control over the islands has since been debated in both Houses of Parliament.
However, the final draft of the Diego Garcia Military Base and British Indian Ocean Territory Bill stalled during the last parliamentary session, reportedly due to objections from the United States president, Donald Trump.
Speaking in defence questions in the Commons on Monday, Tory MP Dr Luke Evans said clarity was needed on the Chagos deal.
He said: “Could (the Defence Secretary) confirm it has been cancelled, and the billions that was going to go to Mauritius has now been transferred to defence spending?”
Responding, Mr Jarvis said: “That’s a fair question.
“I’m looking very closely at the detail, and I will discuss it with our American allies.”
Under the terms of the deal agreed last year, Britain would hand sovereignty over the Indian Ocean archipelago to Mauritius but lease back the Diego Garcia base for 99 years.
The deal would also see the UK pay an average of £101 million a year to Mauritius over that period, totalling about £3.4 billion according to official figures.
But opponents of the deal have said the real cost could amount to about £35 billion, adjusting for inflation, and said it puts the base at risk and could open the door to China establishing a presence on the archipelago.
Although the agreement has been signed by both the UK and Mauritius, it has not yet been ratified and no payments have been made.
