Britain will not be required to pay Rwanda tens of millions of pounds following the cancellation of the controversial asylum relocation agreement, after an international arbitration panel rejected
all financial claims brought by Kigali.
The Permanent Court of Arbitration in The Hague ruled that Rwanda was not entitled to additional payments under the deal, which was scrapped by Prime Minister Keir Starmer's government in 2024. Rwanda had argued that the United Kingdom remained bound by financial commitments contained in the agreement and sought at least £60 million ($80 million) in compensation.
According to excerpts of the ruling released on Monday, a majority of the three-judge panel found that Rwanda had agreed through diplomatic correspondence in November 2024 to waive any further payments scheduled for April 2025 and April 2026.
The decision stems from the UK-Rwanda asylum partnership introduced by the previous Conservative government, under which asylum seekers arriving illegally in Britain could be relocated to the East African nation for processing and resettlement. The policy faced prolonged legal challenges and political opposition before being abandoned by Starmer shortly after taking office.
Despite the significant resources devoted to the initiative, only four individuals voluntarily travelled to Rwanda under the scheme before its termination.
Responding to the ruling, the Rwandan government said it respected the court's decision while maintaining that the dispute involved complex legal issues that could support differing interpretations.
“Rwanda will continue to work constructively with international partners, guided by international norms and mutually beneficial cooperation,” government spokesperson Yolande Makolo said in a statement.
The British government welcomed the outcome, saying it had vigorously defended its position throughout the proceedings.
A government spokesperson criticized the previous administration's policy, stating that it had cost taxpayers approximately £700 million while resulting in the relocation of only four volunteers.
The arbitration ruling comes amid strained relations between London and Kigali. Ties deteriorated last year after Britain suspended portions of its aid programme in response to allegations that Rwanda supported the M23 rebel group in eastern Democratic Republic of Congo.
Rwanda has consistently denied backing the insurgents and has instead accused Congolese and Burundian forces of fuelling the conflict, which has left thousands dead and displaced hundreds of thousands of people across eastern Congo over the past year. Photo by Emmanuelkwizera, Wikimedia commons.
