Keir Starmer warned 'it's over' as PM urged to U-turn after Donald Trump's Chagos deal slapdown

However, Mr Trump expressed grave concerns about the US losing access to its Diego Garcia military base.

He said: "Should Iran decide not to make a Deal, it may be necessary for the United States to use Diego Garcia, and the Airfield located in Fairford, in order to eradicate a potential attack by a highly unstable and dangerous Regime."

Shadow Foreign Secretary Dame Priti Patel is now demanding Sir Keir cancels the £35billion deal.

The Witham MP said: "It's time Starmer finally saw sense, U-turned and scrapped this appalling deal altogether.

"Giving up British sovereign territory to an ally of China and paying for the privilege is irresponsible and reckless and is clearly undermining our relationship with our most important ally."

Tory peer Lord Hannan, who warned Sir Keir his Chagos handover "is over", added: "The question is how to deal with the officials who put us in this humiliating position: Peter Mandelson, Vijay Rangarajan, Richard Hermer, Jonathan Powell. I won't bother adding Keir Starmer. He is already toast."

However, Sir Keir's Government is expected to push ahead with its plan to give the Indian Ocean archipelago to Mauritius.

A Foreign Office spokesman said: "The deal to secure the joint UK-US military base on Diego Garcia is crucial to the security of the UK and our key allies, and to keeping the British people safe.

"The agreement we have reached is the only way to guarantee the long-term future of this vital military base."

Sir Keir initially received Mr Trump's full backing for the deal when the US President described the agreement as a "powerful lease" during the Prime Minister's visit to Washington in February 2025.

However, Mr Trump made a major U-turn after the UK and US were at odds over the President's proposed annexation of Greenland.

Despite describing the giveaway as an "act of grave stupidity", Mr Trump backtracked less than a month later by crediting Sir Keir for signing "the best deal he could make".

White House press secretary Karoline Leavitt clarified Washington's position on the Chagos Islands last night.

She said: "The post should be taken as the policy of the Trump administration, it's coming straight from the horse's mouth.

"When you see it on Truth Social you know it's directly from President Trump, that's the beauty of this president in his transparency and relaying this administration's policies."

Sir Keir is now being warned the disagreement over the Chagos Islands risks the special relationship altogether.

Reform UK leader Nigel Farage said: "Keir Starmer risks alienating our most important ally by giving away the Chagos Islands, the worst deal in British history."

Meanwhile, Liberal Democrat leader Sir Ed Davey warned: "Trump's endless flip-flopping on the Chagos Islands shows why Starmer's approach is doomed to fail."

Chagossians have also been at odds with Sir Keir's Government following this week's attempt to establish a settlement on the archipelago.

Four Chagos Islanders, who have been accompanied by ex-Tory MP Adam Holloway, have been urged to leave the settlement by a British patrol vessel.

The archipelago's de facto first minister Misley Mandarin told GB News: "They have to walk over my body, drag me from the beach, put me on the boat – even kill me.

"I want to stay, this is my homeland, my homeland is a British territory. I'm British and I'm staying."

Around 2,000 Chagossians were forcibly removed from the archipelago in the 1960s and 1970s, with hundreds being resettled in the United Kingdom.