Taxpayers are set to be shouldered with a £100million legal bill over delays in ending the Rwanda migrant plan.
The revelation comes as Home Secretary Shabana Mahmood admitted it took ministers 18 months to formally terminate the bill, despite Sir Keir Starmer boasting the policy was “dead” on his first day in Downing Street.
Rwandan is currently suing the Government for the nine-figure sum over unpaid payments it claims it is owed after Labour, on entering power in July 2024, failed to settle when scrapping the deal.
Ms Mahmood revealed the circumstances while speaking Commons home affairs committee on Wednesday.
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She admitted the Government had only notified the Rwandans of its official intention to cancel the agreement on December 16, 2025.
She stressed that Labour had “discussed (the deal) with the Rwandans at the earliest opportunity”, but a formal move would not come for 18 months.
It means Rwanda could claim tens of millions of pounds from the British taxpayer if successful in its legal action.
Kigali lodged its case with the Permanent Court of Arbitration in the Hague in the Netherlands on December 17.
British taxpayers could face a £100million legal bill over delays in ending the Rwanda migrant plan
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The Rwandans argued they are owed the £100million sum after the British Government asked them to “quietly forgo” the remaining payment.
Labour hoped this would be done on “trust and good faith”, pending its formal termination of the treaty, they maintain.
Director General of Migration and Borders at the Home Office, Dan Hobbs, said the 18-month delay was due to having to wait for the Safety of Rwanda Act to be repealed from the statute book.
Labour scrapped this legislation, which enshrined the Rwanda scheme in law under the previous Conservative government in 2024, as part of its flagship Border Security, Asylum and Immigration Act.
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Rwanda argued they are owed the sum after the British Government asked them to 'quietly forgo' the remaining payment
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In his first press conference upon becoming Prime Minister, Sir Keir declared: "The Rwanda scheme was dead and buried before it started."
He said the scheme had "never been a deterrent" as it would only deport "less than one per cent" of small boat arrivals.
Despite the Government’s early confidence about a more effective approach to managing the migrant crisis, Ms Mahmood declined to guarantee the number of small boat crossings would be lower this time next year.
Speaking at the same hearing, she said the asylum reforms she announced in the autumn would take time to have an impact.
Sir Keir Starmer declared the Rwanda deal was 'dead' on his first day as Prime Minister
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Ms Mahmood also acknowledged the “one in, one out” returns deal with France had “not dented the numbers yet”, six months after it came into force.
Since August, 305 migrants have been deported to France under the agreement, while 367 have been legally transferred to the UK in return — a net difference of 62.
During the same period, 17,025 people have crossed the Channel in small boats, meaning the deal has resulted in the return of roughly one in 50 arrivals.
Pressed on whether she could confidently predict a fall in numbers within a year, Ms Mahmood said: “I would love to be in that position. I can’t guarantee I’m going to be in that position.”
Ms Mahmood said forthcoming legislation to overhaul the appeals system and further restrict the interpretation of Article 8 of the Human Rights Act would be brought forward “at the earliest opportunity”.
However, she warned drafting and passing the measures would “necessarily take some time”.
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