As Starmer’s Chagos deal teeters on the verge of collapse, his new National Security Adviser Jonathan Powell is on a round the world last ditch tour to save the sellout of British sovereign territory. The former Blair Chief of Staff is the chief architect of the agreement to give up British Indian Ocean Territory to Mauritius – he was appointed Starmer’s Chief Negotiator on the matter back in September (prior to being confirmed as NSA). There’s just one problem…
The Mauritian Government, with whom Powell originally negotiated the deal, has subsequently collapsed in a massive wiretapping scandal. At an election held on 10th November, the then government was expelled from office in a landslide defeat. There’s a new Mauritian PM, whom Powell tried to ingratiate himself with in person this week…
Guido has well placed sources who are in a position to have knowledge of the detail of some of those meetings. They confirm that the change of government has severely damaged the prospects of Powell’s deal holding firm as new Mauritian ministers have described the arrangement as a “sell out”. It is understood that the Mauritius government has appointed legal advisers to reevaluate Powell’s deal, requesting more time. Damningly, the word in Port Louis is that Powell’s sudden trip has caused deep frustration in the Mauritius government – the new Prime Minister had not even had a chance to convene his full Cabinet for its first meeting before Powell turned up on the doorstep of Government House. Blundering Powell is now heading to Washington DC to try to firm up the deal from the US side – which seems hopeless given opposition inside the Trump team. This deal is only going one way…
Speaking at his speech on how to achieve “progressive capitalism” Wes Streeting fired a dig and Andy Burnham:
“Bond markets are not bond villains and fiscal rules matter.”