The Rwandan government has formally commenced international legal proceedings against the United Kingdom through the Permanent Court of Arbitration in The Hague, seeking financial compensation for what it claims are unfulfilled commitments under a terminated migration agreement. This development marks a significant escalation in the diplomatic dispute between the two nations following the collapse of the controversial asylum partnership.
According to documents filed with the Netherlands-based arbitration body, Rwanda contends that the UK failed to honor its financial obligations under the treaty signed by the previous Conservative administration. The agreement, which envisioned relocating certain asylum seekers from Britain to Rwanda, included substantial economic support packages for the African nation.
The legal challenge emerged after Prime Minister Sir Keir Starmer’s government terminated the arrangement in 2024, declaring the scheme ‘dead and buried’ shortly after Labour’s electoral victory. The Home Office subsequently announced that £220 million in scheduled future payments would not be disbursed to Rwanda.
A spokesperson for the Prime Minister’s office stated: ‘We will robustly defend our position to protect British taxpayers. The Rwanda scheme was a complete disaster that wasted £700 million of taxpayer money while resulting in the transfer of merely four volunteers.’
The original agreement, negotiated under Conservative leadership, involved total expenditures of approximately £700 million, including £290 million in direct payments to Rwanda. Additional provisions included £100 million scheduled for fiscal years 2025-26 and 2026-27, plus £120 million contingent upon the transfer of 300 individuals to Rwandan soil.
Michael Butera, Chief Technical Adviser to Rwanda’s Minister of Justice, explained the nation’s position: ‘Through arbitration, Rwanda seeks a legal determination of the parties’ respective rights and obligations under the treaty, in accordance with international law.’
The Permanent Court of Arbitration, an established forum for resolving interstate disputes, has acknowledged receipt of the case with its status listed as pending. Arbitration procedures typically involve extended timelines, often spanning multiple years, as parties present detailed arguments according to established timetables.
Conservative opposition figures have characterized the legal action as ‘yet another catastrophic consequence of Labour’s decision to scrap the Rwanda scheme,’ warning that British taxpayers now face substantial financial liability due to the government’s policy reversal.
The UK government had previously indicated efforts to recover funds following the agreement’s termination, though Rwandan authorities maintain they are under ‘no obligation’ to refund any payments already received.