The Rwandan government has formally requested £100 million from the United Kingdom, claiming the former government is owed compensation for the abrupt termination of an asylum partnership that was signed in 2016. The deal promised that Rwanda would host up to 20,000 refugees at a cost of around £154 million per year, after which the applicants would be resettled in the UK. iThe sudden policy reversal, announced in October 2022, has led the Rwandan side to launch a legal claim in British courts, asserting breach of contract and damages for lost investment./i _2_

The Home Office has dismissed the claim, stating it will mount a full defence and that the agreement was terminated in mutual interest amid concerns over the safety and well‑being of resettled individuals. bUK officials argue that the contract already included provisions for termination, and that any compensation would be calculated under the terms set out in the original memorandum./b The legal battle is expected to hinge on the interpretation of the settlement clauses, the extent of the UK’s obligations, and the precise value of the refund the Rwandan Ministry seeks. _3_

Should the court side with Rwanda, the UK could face a significant outflow of funds and a forced reevaluation of its approach to international asylum engagements. For Rwanda, a successful claim might enable further investment in infrastructure and strengthen its position as a partner in global migrant management. Both sides are expected to negotiate a settlement to avoid prolonged litigation; however, the upcoming consultations may reshape the future of bilateral cooperation on asylum and immigration policy.