UK Court Rules Against Rwanda in Dispute Over Cancelled Asylum Deportation Plan

International arbiters have rejected Rwanda’s bid for damages related to the refugee resettlement agreement signed with the previous UK government, which was terminated by Prime Minister Keir Starmer shortly after he assumed office in 2024.

The controversial scheme—already facing legal uncertainty in British courts—planned to relocate asylum seekers arriving illegally in the UK to Rwanda for processing. Starmer’s government labeled it a “gimmick” and criticized it as a “shocking waste of taxpayer money,” noting that nearly £1 billion had been spent without achieving measurable results.

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Background of the Case

Rwanda sought two annual payments of approximately £50 billion each (due April 2025 and 2026), arguing that the Starmer administration remained obligated despite scrapping the deal. The Permanent Court of Arbitration determined that post-cancellation diplomatic communications confirmed the UK would not make the payments. A majority ruling applied to the 2025 payment, while the 2026 decision was unanimous. The tribunal’s findings were dated May 15 but officially announced by the Hague-based body on Monday.

“The UK robustly defended its position, and the tribunal has now ruled in favor of the UK on all grounds,” a government spokesperson said. Rwanda’s representative Yolande Makolo stated the nation respects the ruling and considers the matter resolved, though she noted the 2025 decision leaves room for differing interpretations.

The Agreement Explained

Introduced by former Prime Minister Rishi Sunak in 2022—and earlier proposed by Boris Johnson—the deal aimed to transfer irregular migrants seeking asylum to Rwanda. It included financial provisions for Kigali’s government to support operational costs.

The policy emerged amid rising public concern over irregular migration in the UK and pressure on the Conservative Party from right-wing figures like Nigel Farage of Reform UK. Paradoxically, it coincided with increased legal migration following Brexit—an outcome opposed by Brexiteers who expected reduced movement.

Legal and Political Controversy

Even before Labour campaigned on abolishing the plan and won the 2024 election, the scheme encountered significant domestic legal obstacles. In November 2023, the UK Supreme Court ruled it unlawful, warning that relocation could expose individuals to human rights violations. Parliament re-passed amended legislation just weeks before the election, preventing further judicial review.

In 2023, actual relocation attempts were blocked due to legal concerns. Only four individuals were transferred voluntarily—the sole permitted method—before the program was discontinued. The current government alleges the previous administration squandered £700 million sending only volunteers abroad.

Separately, Rwanda has accused the UK of cutting aid payments while alleging British support for the M23 rebellion in eastern Democratic Republic of Congo—an accusation Kigali denies.