Formerly administered as part of the British Crown Colony of Mauritius, the British Indian Ocean Territory (BIOT) was established as an overseas territory of the UK in 1965. A number of the islands of the territory were later transferred to the Seychelles when it attained independence in 1976. Subsequently, BIOT has consisted only of the six main island groups comprising the Chagos Archipelago. The largest and most southerly of the islands, Diego Garcia, contains a joint UK-US naval support facility. All of the remaining islands are uninhabited. Between 1967 and 1973, former agricultural workers, earlier residents in the islands, were relocated primarily to Mauritius, but also to the Seychelles. Negotiations between 1971 and 1982 resulted in the establishment of a trust fund by the British Government as compensation for the displaced islanders, known as Chagossians. Beginning in 1998, the islanders pursued a series of lawsuits against the British Government seeking further compensation and the right to return to the territory. In 2006 and 2007, British court rulings invalidated the immigration policies contained in the 2004 BIOT Constitution Order that had excluded the islanders from the archipelago, but upheld the special military status of Diego Garcia. In 2008, the House of Lords, as the final court of appeal in the UK, ruled in favor of the British Government by overturning the lower court rulings and finding no right of return for the Chagossians.
note:approximately 1,200 former agricultural workers resident in the Chagos Archipelago, often referred to as Chagossians or Ilois, were relocated to Mauritius and the Seychelles in the 1960s and 1970s; in November 2004, approximately 4,000 UK and US military personnel and civilian contractors were living on the island of Diego Garcia
chief of state: Queen ELIZABETH II (since 6 February 1952)
head of government:
Commissioner Colin ROBERTS (since July 2008); Administrator John MCMANUS (since April 2011); note - both reside in the UK and are represented by the officer commanding British Forces on Diego Garcia
white with six blue wavy horizontal stripes; the flag of the UK is in the upper hoist-side quadrant; the striped section bears a palm tree and yellow crown (the symbols of the territory) centered on the outer half of the flag; the wavy stripes represent the Indian Ocean; although not officially described, the six blue stripes may stand for the six main atolls of the archipelago
All economic activity is concentrated on the largest island of Diego Garcia, where a joint UK-US military facility is located. Construction projects and various services needed to support the military installation are performed by military and contract employees from the UK, Mauritius, the Philippines, and the US. There are no industrial or agricultural activities on the islands. The territory earns foreign exchange by selling fishing licenses and postage stamps.
Mauritius and Seychelles claim the Chagos Islands; in 2001, the former inhabitants of the archipelago, evicted 1967 - 1973, were granted UK citizenship and the right of return, followed by Orders in Council in 2004 that banned rehabitation, a High Court ruling reversing the ban, a Court of Appeal refusal to hear the case, and a Law Lords' decision in 2008 denying the right of return; in addition, the United Kingdom created the world's largest marine protection area around the Chagos islands prohibiting the extraction of any natural resources therein