• The UK is not liable for over $134 million in payments to Rwanda due to a scrapped asylum deal.
• The asylum plan was declared unlawful by the UK Supreme Court prior to its cancellation.
• Rwanda's claims were rejected by the Permanent Court of Arbitration in The Hague.
• UK government emphasized ongoing reforms to control illegal migration.
• The decision may impact future international migration agreements.

The Permanent Court of Arbitration ruled recently that the United Kingdom is not required to pay Rwanda over £100 million ($134 million) related to a failed asylum agreement that Prime Minister Keir Starmer canceled shortly after taking office in 2024. The deal, initially struck by former Prime Minister Boris Johnson's government in 2022, aimed to relocate asylum seekers arriving illegally in the UK to Rwanda, where their claims would be processed, according to BBC and Los Angeles Times.

The Hague-based panel announced on May 15, 2026, that it rejected both of Rwanda's claims for $67 million each, which were intended to cover outstanding payment obligations set for 2025 and 2026. The tribunal determined that diplomatic notes exchanged after the cancellation amounted to an understanding that these payments would not be made, as the deal was effectively nullified by domestic legal rulings, as noted in reports by Al Jazeera and Africanews.

Upon the ruling's announcement, a spokesperson for the UK government stated their commitment to vital reforms addressing illegal migration, highlighting the need to remove incentives for unlawful arrivals. The spokesperson emphasized that the UK robustly defended its legal position during proceedings, achieving a favorable outcome on all grounds presented, Los Angeles Times and Africanews reported.

Rwanda's government, while acknowledging the tribunal's ruling, signaled a commitment to "constructive" cooperation with international partners, emphasizing the complexities involved in the legal proceedings. The ruling is seen as significant not only for the UK-Rwanda relationship but also as a message to other nations exploring similar migrant return agreements, according to Al Jazeera and BBC.