The United Kingdom (UK) government was extremely concerned about the many allegations of corruption in the BVI, which prompted Governor Gus Jaspert with support from the Foreign and Commonwealth Office (FCO) to order a Commission of Inquiry.
According to international media reports in a written statement Foreign Secretary Dominic Raab said "a consistent and deeply troubling array of concerns have been put to the governor by local institutions and the community" and that the UK was "extremely concerned".
"The UK Government is responsible for ensuring the security and good governance of BVI,” he said.
Raab added, "We have a constitutional and moral duty to protect the interests of the people of BVI - we cannot ignore such serious allegations."
Governor Jaspert made the announcement today to the people of the BVI in a detailed statement accompanied by a video recording.
The Governor said that a British judge Sir Gary Hickinbottom is to run the independent inquiry into the corruption claims.
According to the BBC, the inquiry is expected to report in six months.
The BBC reported that, the BVI has long faced allegations of state corruption including reports that £5m of public money was spent on an airline that did not exist.
The BBC has been told the government thinks the islands' authorities cannot cope with the size of the problem.
The judge will investigate allegations of misuse of taxpayers' money, concerns about government procurement, political interference in public appointments and what has been called a climate of fear in public service.
According to the BBC report, there are also claims a £30m fund for families struggling with Covid has been channelled to politicians' allies. Further, other allegations include £700,000 spent on one school fence and a policeman found with cocaine worth almost £200m.