UK pledges full security review of China’s planned ‘super-embassy’ near City of London, amid US pressure and fears of espionage and trade disruption.
The UK government has committed to a detailed review of security concerns surrounding China’s proposed mega-embassy near London’s financial hub, amid warnings it could jeopardise ongoing trade negotiations with the United States.
The issue—revived after lobbying by China’s president—has emerged as a sensitive point in UK–US discussions, the Guardian reported. US authorities, including the White House and national security officials, have expressed alarm about the embassy’s proximity to critical infrastructure such as communication cables and data centres.
Security Risk and Intelligence Shakeup
The intended site at Royal Mint Court, near the City and Canary Wharf, lies adjacent to sensitive data cables and financial institutions. Intelligence experts, including former MI6 head Sir Richard Dearlove, warned it could provide Chinese intelligence services undue access to secure communications. US Senator John Moolenaar described it as “unacceptable risk” and “strategic overreach” by Beijing.
Media reported that President Donald Trump’s administration has explicitly cautioned Prime Minister Keir Starmer not to approve the embassy plan, warning it may undermine intelligence-sharing through the Five Eyes alliance. The embassy issue is now tied to an impending US-UK trade deal: the US has set a July 9 deadline for resolving concerns not only around the steel sector but also national security issues linked to China, suggesting that failure to address them could delay the deal.
US authorities, including the White House and national security officials, have expressed alarm about the embassy’s proximity to critical infrastructure such as communication cables and data centres.
Technology Secretary Peter Kyle emphasised that the government will “assiduously” address any security questions during the embassy’s planning review. He stressed that handling such infrastructure matters is routine in UK planning processes, and any raised concerns would receive a “fulsome response”
The government also referenced its intelligence-sharing obligations under the Five Eyes alliance, reassuring allies that security and mitigation would guide any final decision ft.com.
Local Objections and Protest Warnings
Before being called in for national-level review, Tower Hamlets Council rejected embassy plans in December 2022 citing security and community concerns. More than 1,000 protesters and MPs—including those from both major UK parties— demonstrated near Royal Mint Court earlier this year, echoing fears of potential espionage and public safety risks.
The Metropolitan Police also voiced formal apprehensions, warning of the logistical challenge of overseeing large protests—some involving several thousand people—if the embassy is built.
Diplomatic communications around the embassy issue have intensified. Chinese Foreign Minister Wang Yi reportedly discussed it with UK Foreign Secretary David Lammy earlier this year, and President Xi is understood to have directly appealed to Prime Minister Starmer. China, meanwhile, has dismissed espionage allegations as “anti-China smears.”
Supporters of approving the embassy suggest it could help strengthen UK-China relations and facilitate £600 million in planned financial and economic agreements, following Labour’s economic dialogue relaunch with Beijing earlier this year. However, Conservative MPs and security officials argue that granting Britain’s most secure diplomatic site to China risks critical data access. US counterparts have joined their warnings, flagging potential threats to secure UK–US coordination.
What Comes Next
Responsibility for the embassy’s planning permit has been escalated to Housing Secretary Angela Rayner, following a ministerial take-over from Tower Hamlets Council. Meanwhile, UK–US trade negotiations are progressing in London, with Treasury Secretary Scott Bessent and Commerce Secretary Howard Lutnick meeting counterpart Chinese officials including Vice Premier He Lifeng over the next week.
As tensions between strategic priorities and economic ambitions swirl, the UK faces a high-stakes balancing act. The outcome will test whether London can reconcile cordial ties with Beijing with the exigencies of intelligence alliances and national security.
