The White House is considering options for the future of the Chagos Islands, including a proposal under which the United States would purchase the territory from Mauritius, according to people familiar with the discussions.
First reported by the British newspaper The Telegraph new outlet, the proposal is among several alternatives being examined by President Donald Trump's administration as Britain weighs a plan to transfer sovereignty of the Chagos Islands to Mauritius while maintaining access to the strategically important Diego Garcia military base through a long-term lease arrangement.
U.S. and British officials have held regular discussions about securing the future of Diego Garcia, according to a U.S. official familiar with the talks. The official said the United States and Britain are working to preserve the viability of the base as a regional security platform, The Telegraph reported.
People familiar with the matter said the idea of purchasing the islands has been raised with Treasury Secretary Scott Bessent and brought to Trump's attention. They said it is not currently the administration's preferred option.
Diego Garcia hosts a joint U.K.-U.S. military facility and has long been viewed as strategically important because of its location in the Indian Ocean. U.S. officials and security analysts have cited its role in supporting long-range military operations and regional security objectives.
Some administration officials have expressed concerns that transferring sovereignty to Mauritius could create security risks. Mauritius maintains relations with China and Iran, and some officials have argued that a change in control could increase opportunities for foreign intelligence activity in the region.
Ben Judah, a former adviser to British Foreign Secretary David Lammy, told The Telegraph earlier this year that Diego Garcia contains highly sensitive facilities that are important to Britain's global military capabilities.
No price has been discussed publicly for a potential U.S. purchase of the islands. Under the British government's proposed agreement, sovereignty would transfer to Mauritius while Britain would lease back Diego Garcia for 99 years.
Any U.S. effort to acquire the islands would likely require negotiations with Mauritius after any transfer of sovereignty takes place.
Trump initially signaled support for Britain's proposed agreement but later criticized the plan publicly. He has described the proposed transfer as a mistake and questioned Britain's approach to the territory's future.
Britain cannot complete the transfer without U.S. cooperation because of longstanding bilateral agreements governing the operation of Diego Garcia.
Mauritius has for years challenged British control of the Chagos Islands in international legal forums. British officials have cited legal and diplomatic pressures in support of reaching an agreement with Mauritius.
In May, British Middle East and North Africa Minister Hamish Falconer said there was no scenario under which Washington would purchase the islands and said the government remained committed to its agreement with Mauritius.
A U.S. official said Washington remains engaged in discussions with Britain regarding the future of Diego Garcia.
Downing Street did not respond to a request for comment.