An internal Pentagon document reportedly raised the prospect of a change in position in retaliation for the UK not joining the Iran war.

Downing Street has said the sovereignty of the Falkland Islands “rests with the UK”, following a report the US could review its position on the British claim to the territory.

The internal Pentagon email, which was reported by Reuters, suggested the US was considering options to punish Nato allies it believed failed to support its war on Iran.