Muammar Gaddafi US companies to cease operating in the country, although several hundred workers remained when the Libyan government doubled their pay. Diplomatic relations also broke down with the UK, after Libyan diplomats were accused in the killing of Yvonne Fletcher, a British policewoman stationed outside their London embassy, in April 1984. In Spring 1986, the US Navy again began performing exercises in the Gulf of Sirte; the Libyan military retaliated, but failed as the US sank several Libyan ships. After the US accused Libya of orchestrating the 1986 Berlin discotheque bombing, in which two American soldiers died, Reagan decided to retaliate
Embassy of the United States, London have their residences there. The embassy "strenuously denied" the reports, and a spokesman for Buckingham Palace reported that no formal request had been made. Another possible option was Chelsea Barracks, for which the U.S. Embassy made an unsuccessful bid in February 2007. On October 8, 2008, the embassy announced a conditional agreement with the real estate developer Ballymore Group to purchase property for a new embassy site on the South Bank of the River Thames in the Nine Elms area of the London Borough of Wandsworth. The site lies within the Vauxhall/Nine Elms/Battersea Opportunity Area as set out in the