The UK government has approved China’s plan to build a large new embassy in central London, despite warnings from critics that the site could pose national security risks.
Security Minister Dan Jarvis said UK intelligence agencies were closely involved in the decision-making process and that the government was satisfied the risks could be properly managed.
The decision had been delayed several times, reflecting the government’s challenge in balancing closer diplomatic and trade ties with Beijing against long-standing concerns over China’s security activities. It comes ahead of an expected visit to Beijing by Prime Minister Sir Keir Starmer, which would be the first by a UK prime minister since 2018.
In a letter, the housing department confirmed that Housing Secretary Steve Reed approved the development, subject to conditions. The proposed embassy will be built at Royal Mint Court, near the City of London.
The site’s proximity to fibre-optic cables carrying sensitive financial and communications data had raised concerns that the embassy could be used for espionage. However, the department said there was no evidence that the embassy would interfere with the cables. It added that no national security bodies, including the Home Office or Foreign Office, had objected to the plan on these grounds.
Jarvis told Parliament that the government had taken steps to strengthen the protection of nearby cables and sensitive data. He argued that the project could also offer security benefits by consolidating China’s diplomatic operations from seven separate locations into one secure site.
In a joint letter, MI5 Director General Sir Ken McCallum and GCHQ Director Anne Keast-Butler said it was not realistic to eliminate every possible risk. However, they said a “proportionate” set of security measures had been developed for the site.
Conditions attached to the approval include starting construction within three years and setting up a local steering group to manage protests outside the embassy.
Opposition parties, some Labour MPs, and local residents have criticised the decision. Residents are preparing a legal challenge.
Priti Patel, the Conservative shadow foreign secretary, accused the government of compromising national security.
The Liberal Democrats warned the embassy could increase surveillance risks and threaten dissidents, including Hong Kong activists living in the UK. Reform UK also described the move as a serious security threat.
Downing Street defended the decision, saying embassies are essential for communication between countries and rejecting claims that diplomatic engagement itself is a security weakness.
If completed, the embassy would cover 20,000 square metres, making it the largest Chinese embassy in Europe. China bought the site for £255 million in 2018. The original proposal was rejected by Tower Hamlets Council in 2022, but the central government took over the decision after a revised application in 2024.
The UK is still awaiting approval from Beijing for its own £100 million plan to redevelop the British embassy in China. Officials say rejecting China’s proposal could have harmed bilateral relations.
Since taking office, the Labour government has sought closer economic engagement with China. Critics, however, argue that concerns over surveillance and intimidation of dissidents should guide a more cautious approach.
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