A ruling on whether to authorize China's application for a recent substantial consulate in London has been postponed anew by the authorities.
Residential Affairs Secretary Steve Reed had been expected to determine on the proposal by 21 October, but the deadline has been extended to 10 December.
It is the second time the administration has postponed a ruling on the disputed property, whose position has triggered apprehensions it could create an intelligence gathering danger.
A determination had originally been due by 9 September after cabinet members took control of the process from Tower Hamlets, the local council, last year.
China purchased the location of the suggested new embassy, at Royal Mint Court, near the Tower of London, for £255m in 2018. At 20,000 square metres, the suggested development would be the biggest embassy in Europe assuming approval.
The awaiting decision on whether to approve the recent embassy was already under close scrutiny because of concerns about the protection ramifications of the proposal, including the location, dimensions and architecture of the structure.
The property is near optical fiber lines carrying transmissions to and from economic establishments in the City of London. Concerns have been highlighted that Chinese operatives could utilize the site to tap into the connections and monitor communications.
More concerns have been raised in the past few weeks about the character of the risk presented by Beijing, following the collapse of the legal proceeding against two men alleged of intelligence gathering for China.
The Government Legal Department unexpectedly withdrawn accusations against government studies analyst Christopher Cash, 30, and scholar Christopher Berry, 33, last month. Both men deny the allegations.
The administration's primary deferral was sought by Reed's predecessor Angela Rayner, after she requested China to clarify why some rooms within its development papers had been redacted for "safety concerns".
Architectural specialists working for the China consulate had replied that China "does not consider that, as a matter of principle, it is required or suitable to supply complete interior designs".
Rayner had written back to parties involved in the review, including China, the London police and a neighborhood group, to provide extended periods to answer to the schemes and setting the cut-off date forward to 21 October.
Reed, who assumed the residential portfolio following Rayner's resignation last month, has now asked for more time before a conclusive determination needs to be made.
In a document examined by media outlets, the housing department said more time was necessary due to the "detailed nature" of responses collected previously.
It stated that it was incapable to set a new deadline for new responses until it obtains awaiting answers from the Foreign Office and Home Office.
The suggested development would incorporate offices, a extensive subterranean section, housing for 200 employees, and a new tunnel to connect the Embassy House to a distinct structure on the consulate property.
Beijing's proposal for the embassy was originally denied by Tower Hamlets Council in 2022 over protection and safety issues.
It submitted again an same request to the council in August 2024, one month after the administration changed.
The China Consulate in the UK has previously said the recent development would improve "reciprocal advantageous partnership" between China and Britain.
In a new diplomatic note released accompanying Reed's letter explaining his causes for the latest delay, a China diplomat said oppositions to the property were "either ill-founded or unjustified".
The Opposition Party said Labour ministers should reject the proposal, and accused them of trying to "silence the cautions about the risks to country protection" presented by the diplomatic property.
The Alternative Group also called for the application to be prevented, calling on the authorities to "resist China".
Foreign Affairs spokesperson Calum Miller said it would be "insane" for ministers to allow the embassy development to move forward, after warnings from the chief of MI5 on Thursday about the danger of Chinese espionage.
A ex-top counselor to Boris Johnson said MI5 and MI6 had alerted him China was "attempting to construct a intelligence facility below the embassy," when he was working at Downing Street.
Speaking on a public affairs broadcast, the consultant said the agencies had told him that authorizing the embassy to be built would be "an extremely bad idea".
In his regular presentation, the security director said "Chinese state actors" presented a country protection risk to the UK "each day".
He added that the UK needed to "protect itself firmly" against China, while also being able to "capitalize on the chances" from maintaining connections with Beijing.
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