Britain Owes $115 Million for Scrapped Refugee Resettlement Deal, Rwanda Claims. Kigali, Rwanda — Rwanda has demanded 100 million pounds ($115 million) from the United Kingdom over a controversial refugee resettlement deal that was abruptly terminated by Prime Minister Keir Starmer upon taking office in 2024, according to official statements.
The 2022 deal, struck by Starmer’s predecessor, Rishi Sunak, involved relocating migrants who arrive in the UK as stowaways or in boats to Rwanda.
The agreement included financial arrangements for the UK to compensate Rwanda for the costs of accommodating and processing these migrants. Rwanda’s Justice Minister and Attorney General, Emmanuel Ugirashebuja, told a hearing at the Permanent Court of Arbitration in The Hague that his country incurred significant expenses in setting up an asylum appeals chamber, establishing ministerial and administrative structures, and preparing reception facilities. When the Labour government came into power, Prime Minister Starmer cancelled the deal without informing Rwanda, prompting the country to seek arbitration.
The UK government is urging the court to dismiss Rwanda’s claims, contending that both nations agreed in November 2024 to forgo payments. Rwanda denies this agreement.
The case is expected to take months to resolve after this week’s hearings at the Permanent Court of Arbitration, where a decision could have significant implications for the UK’s international legal obligations.
The deal, which was also heavily criticized by human rights groups and legal experts, faced several legal challenges. Yvette Cooper, the then-Home Secretary under Starmer, called it “the most shocking waste of taxpayer money I have ever seen.”Under the 2022 agreement, migrants were to be sent to Rwanda, where their asylum claims would be processed.
The Supreme Court of the UK ruled the policy unlawful because Rwanda is not considered a safe third country for migrants sent there. Rwanda launched arbitration proceedings in January, arguing that the deal was cancelled without prior notice and violated the terms agreed upon.
In addition to the monetary claim, Rwanda also alleges that the UK violated its commitment to resettle vulnerable refugees from the country.
Further details are expected as the arbitration process unfolds.
