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UK Wins Arbitration Over Rwanda Asylum Deal, Avoids £100m Payment

6/1/2026, 9:00:27 PM

Arbitration Ruling Ends UK-Rwanda Dispute

On 15 May 2026 the Permanent Court of Arbitration in The Hague issued a 76-page award rejecting Rwanda’s monetary claims. The tribunal concluded that diplomatic notes exchanged after Labour scrapped the Migration and Economic Development Partnership (MEDP) formed an agreement that the UK would not pay the two £50 million instalments due in 2025 and 2026. The UK owes no further sums.

Origins of the MEDP

Conservative Prime Minister Boris Johnson negotiated the 2022 partnership, later promoted by Rishi Sunak as a deterrent to small-boat crossings. It required the UK to deposit £290 million into a Rwandan development fund and £20 million for operations, with total spending exceeding £700 million. The scheme would have sent asylum seekers arriving illegally from countries such as France to Rwanda for processing.

Financial Claims

Rwanda’s arbitration filing sought £100 million in two £50 million instalments and £6 million compensation. The UK argued the claim was unfounded, noting only four migrants were voluntarily transferred. UK records show £290 million paid to Kigali; Rwanda says the two annual payments remain due.

Government Responses

The UK said it “robustly defended its position” and welcomed the tribunal’s decision as a vindication. Rwanda’s submission cited “significant costs” and alleged a breach. Both sides referenced diplomatic exchanges confirming the suspension of further payments.

Opposition and Criticism

Labour leaders called the scheme “dead and buried” and a “gimmick,” saying it was ineffective. Home Secretary Yvette Cooper called it “the most shocking waste of taxpayer money I have ever seen.” Conservatives argued the cancellation wasted a deterrent.

Conflicting Figures

The UK website lists £290 million transferred, while some reports cite spending over £700 million. Rwanda’s claim of £100 million conflicts with the UK’s view that no further contractual payments are due. The legal status of the 2024 diplomatic notes as a binding waiver remains disputed.

Verbatim Quotes

  • “Rwanda is not entitled to any of the forms of relief it seeks” — UK spokesperson
  • “the most shocking waste of taxpayers' money I have ever seen” — Yvette Cooper, Home Secretary
  • “The U.K. robustly defended its position, and the tribunal has now ruled in favor of the U.K. on all grounds.” — UK spokesperson
  • “respects the tribunal’s award and considers the matter concluded,” — Yolande Makolo, Rwandan spokesperson
  • “shows that the issues before the tribunal were complex and open to different legal conclusions.” — Yolande Makolo, Rwandan spokesperson
  • “dead and buried” — Sir Keir Starmer, Prime Minister

Future Outlook

The UK will now pursue border-security reforms, including the Border Security, Asylum and Immigration Act. Rwanda says it will continue constructive cooperation with international partners under mutually beneficial terms.