Rwanda Sues UK for £100 Million Over Nullified Asylum Agreement

The government of Rwanda is asserting that it is owed £100 million by the United Kingdom for payments related to a cancelled asylum agreement initiated by Prime Minister Sir Keir Starmer.

Rwanda has initiated a case for international arbitration, contending that the UK has violated the terms of the arrangement designed to transfer some asylum seekers to the East African country.

This agreement, which was established by the preceding Conservative administration, stipulated that the UK would provide financial compensation to Rwanda for accommodating asylum seekers who had unlawfully arrived in Britain.

In an official statement, Rwanda's government indicated that it opted to pursue arbitration after experiencing the UK's 'unyielding stance on these matters.'

A spokesperson from the Home Office reacted, stating, 'The prior government's Rwanda policy squandered considerable taxpayer resources and time.'

The Rwandan government's announcement specified that it was making three claims in relation to the Migration and Economic Development Partnership established in 2022 during Boris Johnson's tenure as Prime Minister.

The claims accuse the UK of violating the agreement by publicly disclosing the financial terms, neglecting to make the anticipated payments totaling £100 million, and 'failing to facilitate the resettlement of vulnerable refugees from Rwanda.'

As part of this partnership, the UK was supposed to resettle a limited number of vulnerable refugees already in Rwanda, rather than those sent from Britain.

The Home Office had indicated in 2022 that this resettlement would involve 'tens' of cases, particularly those requiring special support due to severe health issues.

The former Conservative government allocated roughly £700 million to the Rwanda policy, aimed at deterring migrants from making perilous crossings of the English Channel in small boats.

During the lifespan of the agreement, only four individuals were relocated to Rwanda. Following Labour's victory in the 2024 general election, Sir Keir remarked that this plan was 'dead and buried.'

The agreement featured a break clause that authorized either party to terminate the contract by providing written notice to the other.

Out of the estimated £700 million, £290 million accounted for payments to Rwanda.

In December 2024, the Home Office communicated that an additional £100 million in payments would have been owed under the treaty, with £50 million required in each financial year from 2025-26 to 2026-27.

Moreover, the Home Office had committed to disbursing £120 million upon the transfer of 300 individuals to Rwanda.