UK and US Agree to 99-Year Lease Deal for Key Military Base on Diego Garcia

Strategic Insights -

Prime Minister Sir Keir Starmer has confirmed that the UK and US have reached a deal to lease the key military base on the island of Diego Garcia for 99 years. The agreement was finalized despite a last-minute legal challenge, and it is expected to provide significant security benefits to both countries. The UK will retain full operational control of the base, including the electromagnetic spectrum satellite used for communications. In exchange, the UK will pay an average annual rent of £101 million.

Key Takeaways:

  • The UK and US have agreed to a 99-year lease deal for the key military base on Diego Garcia, with the UK paying an average annual rent of £101 million.
  • The deal provides for the UK to retain full operational control of the base, including the electromagnetic spectrum satellite used for communications.
  • A 24-nautical mile buffer zone will be established around the island, where no construction or placement of objects will be allowed without UK consent.
  • The agreement had been due to be signed on Thursday, but was temporarily blocked by an injunction, which was later discharged.
  • The lease deal has been criticized by British women born on the Chagos Islands, who argue that it undermines Britain's commitments to the environment and human rights.

Statistics:

  • £101 million: The average annual rent the UK will pay for the use of the military base on Diego Garcia.
  • 99 years: The length of the lease agreement between the UK and US.
  • £3.4 billion: The estimated net overall cost of the lease over 99 years, according to the Prime Minister.
  • 24-nautical miles: The buffer zone around the island, where no construction or placement of objects will be allowed without UK consent.
  • £10 billion: The estimated cost of the annual rent over 99 years, which was disputed by the Prime Minister.

Sources:

  • "UK and US agree 99-year lease deal for Diego Garcia", PA News Agency, 22 May 2025.
  • "Sir Keir Starmer: UK and US to sign 99-year lease for Diego Garcia", The Times, 22 May 2025.