The medical standards for diabetics diving in the UK can be found at:
http://www.uksdmc.co.uk/standards/St...20diabetes.htm
I have been told by a PADI rep that these standards are used by them for those diving with schools in the UK. BSAC (the agency I trained with) certainly uses them.
Hypo's can be treated underwater and it is a requirement that diabetic divers here should carry a form of carbohydrate they can ingest underwater and practice taking it regularly. Tubes of icing sugar or sealed cartons of sports drinks are options.
Hypo's are not the only concern though as high blood sugar can also cause dehydration which increases your chances of the bends.