But officials say Hamish Falconer misspoke in saying UK ‘pausing for discussions with our American counterparts’

Moves to pave the way for the handover of the Chagos Islands have been paused, a minister has told MPs, amid continuing discussions with the US over the controversial deal.

The comments by Hamish Falconer, a Foreign Office minister and former diplomat, were swiftly played down by government sources who said he had misspoken. But opposition parties said they appeared to describe the reality of the UK’s position as the deal comes under increasing pressure from Donald Trump.