Number of asylum hotels falls to 185 after 11 close

Asylum Hotel Numbers Drop to 185 After 11 Closures

The Home Office has announced the closure of 11 hotels used to house asylum seekers, reducing the total count to 185 from a high of approximately 400. Minister Alex Norris attributed the decline to a surge in the deportation of individuals without legal residency and the relocation of others to alternative housing options, such as military barracks.

Community Concerns and Policy Shifts

Norris highlighted that asylum hotels had caused “significant frustration” for local communities and served as a “pull factor” for unauthorized arrivals. The Conservatives argue that the government is shifting people from hotels to residential apartments to mask the situation. Councillor Rachel Millward criticized the lack of community engagement, stating the Home Office had not adequately explained the plans.

“We know the traffickers say ‘come to the UK, live in a hotel, work illegally,’ ” Norris remarked. “We’re changing that reality, trying to reduce that pull factor.”

Financial and Operational Context

Asylum seekers typically cannot work during their first year of processing, so the Home Office is legally obligated to provide housing if they lack private accommodations. The use of hotels surged in 2020 due to delays in processing claims and a shortage of long-term housing. This led to protests and legal challenges, with costs rising to £2.1bn in 2024-2025, compared to £3bn the prior year.

According to December data, 103,426 individuals were in asylum accommodation, of which 30,657 resided in hotels. Two-thirds of asylum seekers are housed in “dispersal accommodation,” usually community-based homes. Norris expects hotel occupancy to fall below 29,585, the level recorded when Labour took office.

Political Reactions and Future Plans

Labour has pledged to phase out hotel use by July 2029, claiming the closures would save nearly £65m annually. The party plans further reductions in the coming weeks. Meanwhile, Reform UK criticized the move as merely transferring migrants between taxpayer-funded spaces, arguing thousands will continue to enter the country unless their policies are implemented.

The government aims to replace hotels with “large, basic accommodation sites” to permanently relocate asylum seekers. Up to 350 illegal migrants have already been moved to the Crowborough military barracks in East Sussex. Liberal Democrats suggested using Nightingale processing centers to eliminate the need for hotels altogether.

Challenges and Cross-Party Criticisms

Despite the Conservatives’ promise to cut small boat crossings by targeting trafficking networks, arrivals remained high in 2025, with 100,625 arriving by year’s end. Chris Philp, the Conservative shadow home secretary, accused the government of “shunting people into residential apartments to hide what is going on,” citing the impact on housing availability for young families.

The Green Party has yet to comment on the policy, and readers are invited to subscribe to the Politics Essential newsletter for updates on Westminster developments.