The multibillion-dollar deal will allow Britain to retain control of the strategically important United States (US) – United Kingdom (UK) air base on Diego Garcia, the largest island of the archipelago in the Indian Ocean, under a 99-year lease. The signing went ahead after a carefully choreographed ceremony was postponed when lawyers representing a British national born in the Chagos Islands were granted an interim injunction at the High Court.

Judge Martin Chamberlain then lifted that injunction following a hearing, saying Britain's interests would be "substantially prejudiced" if the injunction were to continue. The government, which has been criticised by opposition parties for pursuing a deal they say is overly costly and would play into the hands of China, has long said the agreement is essential to secure the future of Diego Garcia.

"The strategic location of this base is of the utmost significance to Britain, from deploying aircraft to defeat terrorists in Iraq and Afghanistan to anticipating threats in the Red Sea and the Indo-Pacific," Prime Minister, Keir Starmer said.

"By agreeing to this deal now, on our terms, we're securing strong protections, including from malign influence that will allow the base to operate well into the next century, " Starmer added. The signing ends months of wrangling over the deal, the details of which were first announced in October, after the then-Mauritian Leader, Pravind Jugnauth was replaced by Prime Minister, Navin Ramgoolam, who raised concerns about it.

It was further delayed after the inauguration of US President Donald Trump, with London wanting to give the new administration time to examine the details of the plan. In February, Trump indicated his backing for the deal.

--Reuters--