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Rwanda, UK Clash at Hague Arbitration Over Scrapped Migration Deal and Unpaid Funds.

Louis Nicky by Louis Nicky
March 19, 2026
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THE HAGUE — Rwanda is seeking more than £100 million from the United Kingdom through international arbitration after Prime Minister Keir Starmer’s government cancelled the controversial UK-Rwanda asylum partnership, with Kigali arguing it incurred major costs preparing to receive relocated migrants and that London is attempting to evade binding financial obligations.

At a hearing at the Permanent Court of Arbitration (PCA) at the Peace Palace in The Hague, Rwanda’s Justice Minister and Attorney General Emmanuel Ugirashebuja said Kigali had established an asylum appeals chamber, put ministerial and administrative structures in place, and prepared reception facilities—steps he said required significant expenditure. He told the tribunal that Labour’s government ended the arrangement without prior notice to Rwanda, leaving Kigali to learn of the decision through the media.

The UK is urging the tribunal to dismiss Rwanda’s claim, saying the two governments agreed in November 2024 that Rwanda would forgo the remaining payments. Rwanda disputes that, insisting it never waived the funds and that Britain is trying to “walk away” from legal commitments. Legal observers say the case is likely to turn on the evidence and wording surrounding that alleged November 2024 understanding.

The dispute stems from a plan launched in 2022 under the previous Conservative government to send some migrants who arrived in the UK irregularly—such as by small boats or as stowaways—to Rwanda for asylum processing, with successful applicants to remain there. The policy ran into legal challenges and was ultimately struck down by the UK Supreme Court, which ruled Rwanda was not a safe third country for removals under the scheme as it then stood.

Rwanda initiated arbitration under the treaty’s dispute-resolution clause, with the PCA listing the matter as Case No. 2025-45 and scheduling a public hearing 18–20 March 2026. The tribunal is expected to take months or longer to issue a decision after the hearings conclude.

In the arbitration, Rwanda also alleges the UK breached commitments linked to resettling vulnerable refugees from Rwanda—an additional element Kigali says formed part of the bargain. In Britain, Labour has argued the Rwanda plan was poor value for money. Home Secretary Yvette Cooper previously described it as a major waste of public funds, estimating costs at around £700 million, including payments to Rwanda and spending on preparations such as flights that never took off and staffing.

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