The UK has today signed a deal to hand over the Chagos Islands to Mauritius, and lease back the military base there for £101m a year. British Prime Minister Keir Starmer says the deal – which involves a lease on the base for 99 years “and beyond” – is in the UK’s national interest. The deal was stopped by a last-minute court injunction at 02:25 this morning – but that was discharged just after 12:30

Mauritian Prime Minister Dr Navinchandra Ramgoolam termed the deal as historic, saying that the struggle started nearly 60 years ago. He said today is a great day for the nation, a huge victory, and he reminded how the battle unfolded over decades. The treaty was signed simultaneously by both Prime Ministers via videoconference.  Ramgoolam rejoices that the UK recognises the sovereignty of Mauritius over the Chagos, including Diego Garcia and he thanks all those who have over the years fought for the Chagos cause, namely Sir Seewoosagur Ramgoolam, the Chagossians themselves, Olivier Bancoult, the MMM and Paul Berenger, among others.

Ramgoolam shared that there will be a trust fund for the Chagossians, with an earmarked amount of 40 million pounds (which is more than the 50 m USD that the previous government was banking on).

Deputy Prime Minister Paul Raymond Berenger also addressed the nation in a televised interview where he equally qualified the deal as historic. He dedicated this victory to all Chagossians.

Starmer on his side says the Chagossian challenge was a “good thing” as it allowed the court to come down in favour of the UK after hearing legal arguments for and against the deal.

British Army officer Gen James Hockenhull says that the base’s location provides “immense global reach”, making it a “unique asset” for British security. “I welcome the long-term certainty that this treaty brings. It will help the British Armed Forces in our efforts to support stability abroad and security at home,” Hockenhull says.

Defence Secretary John Healey says the deal is an “essential investment in our national security” and accounts for less than 0.2% of the UK’s defence budget. He adds that China, Russia and Iran wanted to see the deal collapse. “No action was no option,” he says, adding that anyone arguing to abandon this deal would abandon the base. Britain’s armed forces are “safer and stronger because of what we do in Diego Garcia”, he adds.

Key features of the announcement:

• Prime Minister Sir Keir Starmer says the island of Diego Garcia will continue to be used as a military base in a deal signed off by key allies, including the United States, Canada, Australia and New Zealand
• The British government says it will lease the use of the territory from Mauritius for a period of 99 years at a cost of £101m per year
• The net value of the payments under the treaty will reach £3.4bn, according to a government press release
• Under the terms of the deal, the UK will hand sovereignty of the islands to Mauritius
• Starmer says the government had to “act now” as it would not have a “realistic prospect of success” if Mauritius restarted legal proceedings
• Starmer has also hit out at the Conservatives and Reform UK – who have both stated their opposition to the deal
• Defence Secretary John Healey says “no action was no option,” and anyone arguing to abandon the deal would abandon the military base
• British citizens and the British armed forces are safer today and in the future because of the deal, he adds

Defence Secretary John Healey says “international legal proceedings could have rendered the base inoperable” which would have affected the UK’s national security.

Without a deal, provisional measures in a tribunal under the Law of the Sea Convention would have impacted “the ability of the Armed Forces to patrol the waters around the base,” he says.

The government says there will be “robust provisions” to keep adversaries out of the military base on Diego Garcia.

This includes a “24 nautical mile buffer zone” where nothing can be built without UK consent.

Foreign security forces will also be banned on the outer islands, where there will be joint decision making to prevent wider activities from disrupting base operations.

The government says there is a “binding obligation” in place to ensure the base is never undermined.

Defence Secretary John Healey says “the UK retains full operational control of Diego Garcia” under the terms of the deal.

That includes “management of the electromagnetic spectrum satellite used for communications”, which Healey says is “vital for countering hostile interference.”

A journalist from the Financial Times asks for more clarity on cost.

Shouldn’t the figure actually be closer to £10bn rather than £3.4bn if you multiply the average yearly cost of £101m across the deal’s 99 years?

Starmer responds that £3.4bn is the “net cost”, and explains that this is how the government and the Office for Budget Responsibility measures spending on similar projects.

The prime minister is also asked whether he will be asking allies – including the US – to contribute to payments.

He says that the US will be paying the “running costs” of the base.

“There are different contributions to different aspects,” he says.

Starmer says if the UK did not agree to a deal, it would not have been able to prevent other nations from setting up a base on the island.

He says that the deal means the UK is agreeing to “strong protections”.

He then criticises the former Conservative government, and leaders including former Prime Minister Boris Johnson, who he says failed to conclude an agreement.