Britain signed a multi-billion dollar deal on the future of the Chagos Islands with Mauritius after a last-gasp injunction was overturned, securing itself a lease for the U.S.-UK Diego Garcia air base for the next century.

The Chagos Islands are a strategically significant area, with one of its islands, Diego Garcia, serving as a key military base jointly operated by the UK and the US. It monitors the Malacca Strait and other essential global trade routes,

The UK has signed a £3.4bn ($4.6bn) deal to hand over sovereignty of the Chagos Islands to Mauritius, while retaining control of a UK-US military base on Diego Garcia - the largest of the islands. Prime Minister Sir Keir Starmer says the 99-year agreement to lease back Diego Garcia will cost the UK £101m a year,