A Foreign Office minister “misspoke” when he said the UK was “pausing” legislation to hand over the Chagos Islands following criticism of the deal from Donald Trump.
The £35 billion deal, which includes a plan to lease back the UK-US Diego Garcia military base, has been heavily criticised by Mr Trump.
Foreign Office minister Hamish Falconer said the US had backed the deal but that there had been a “very significant” statement from the American president since then.
Mr Trump has described the deal as a “big mistake” and urged Sir Keir Starmer: “Do not give away Diego Garcia.”
Mr Falconer told MPs: “There was support from the US administration for this treaty, which has not changed.
“There clearly has been a statement from the president of the United States more recently, which is very significant.”
He said the Government was “now discussing those concerns with the United States directly”.
Mr Falconer told the Commons: “We will we have a process going through Parliament in relation to the treaty.
“We will bring that back to Parliament at the appropriate time. We are pausing for discussions with our American counterparts.”
But a senior Government source told the Press Association that Mr Falconer “misspoke”.
Officials said there was no pause in the passage of the Diego Garcia Military Base and British Indian Ocean Territory Bill, even though it was nearing the end of its parliamentary passage but had not been debated since January 20.
But the UK has acknowledged it will not proceed with the deal over the strategically vital base unless it has the support of the US.
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