Donald Trump is reportedly preparing a £15 billion bid for the Chagos Islands after shelving his failed plans to purchase Greenland, according to new reports. The sovereignty of the British-controlled archipelago in the Indian Ocean has been a subject of ongoing discussion between the UK government and Mauritius, with a deal to cede sovereignty put on hold earlier this year after the US withdrew its support.
Strategic Importance of Diego Garcia
The islands are home to Diego Garcia, a joint UK-US military base that hosts highly sensitive facilities in a region under strategic threat from China. The base has been targeted by ballistic missiles fired from Iran during recent conflicts, highlighting its geopolitical significance.
White House officials are said to be drawing up plans for a purchase of the Chagos Islands, involving sidestepping the UK entirely. One proposal, worked on by the White House and US Treasury Secretary Scott Bessent, would designate the islands sovereign and no longer a British Indian Ocean Territory, allowing the US to negotiate a direct purchase with Mauritius.
Mauritius and International Law
US officials fear that if Mauritius takes control of the archipelago, it could open the door to maritime espionage and compromise the security of the Diego Garcia base. However, it remains unclear whether Mauritius, which has had its sovereignty over the islands recognized by international courts, would entertain an American bid. Mauritius previously signed an agreement to lease the islands back to Britain for 99 years before the US backed out of the deal.
Experts suggest that an outright purchase of the territory could cost around $20 billion (£15 billion). The move comes amid mounting concern over Chinese and Iranian influence in the Indian Ocean.
Geopolitical Context
In March, one missile fired from Iran reportedly suffered an in-flight failure and crashed, while a second missile was successfully shot down by an SM-3 interceptor launched from a US warship. Discussing the geopolitical significance of Diego Garcia and the Chagos Islands, Ben Judah, David Lammy’s former special advisor when he was foreign secretary, previously told The Telegraph: 'The moment you understand what it is, you come into the British deep state’s logic, which is that we must retain access to this thing at all costs. We would never be able to replicate it if we had to do it all by ourselves. This airbase… has super-secret, highly sensitive facilities there which are so important to what Britain is able to do in the world.'
