Number of asylum hotels falls to 185 after 11 close
Asylum Hotel Numbers Drop to 185 Following 11 Closures
The Home Office has shut down 11 hotels used to accommodate asylum seekers, reducing the total count to 185. This marks a significant decline from the peak of roughly 400 hotels in use. Minister Alex Norris attributed the reduction to higher rates of removals for individuals without a right to remain in the UK, alongside the allocation of alternative housing in locations such as military barracks.
Asylum seekers typically cannot work during their initial 12-month period while their applications are processed. When they lack private housing, the government is legally obligated to provide temporary accommodation. The use of hotels surged in 2020 due to processing delays and limited long-term housing options, sparking widespread debate over costs, community impact, and the effectiveness of the policy.
Government spending on hotel-based asylum accommodation reached £2.1bn in 2024-2025, compared to £3bn in the previous year. This amounts to approximately £8.3m per day. According to December 2025 figures, 103,426 people were in asylum housing, with 30,657 specifically located in hotels. Two-thirds of all asylum seekers are now housed in “dispersal accommodation,” which usually refers to residential homes within local communities.
Norris claimed the closures would lessen the吸引力 of the UK for asylum seekers, countering the narrative that hotels serve as a lure for illegal immigration. “Traffickers say ‘come to the UK, live in a hotel, work illegally,’” he said. “We’re changing that reality by reducing the pull factor.” The minister also noted that the next official figures are expected in May, predicting the number of people in hotels will fall below 29,585, a level seen when Labour assumed power.
Political Reactions to the Closure
“Shunting people from hotels into residential apartments is just a way to mask what’s happening,” said Conservative shadow home secretary Chris Philp. He criticized the move for diverting housing from those struggling to secure rental properties.
Labour’s strategy includes phasing out hotel use by July 2029, aiming to save nearly £65m annually. The party has pledged further closures in the coming weeks. Councillor Rachel Millward highlighted concerns over insufficient community consultation, stating the Home Office had not adequately explained the plan to local stakeholders.
Liberal Democrat Home Affairs Spokesperson Max Wilkinson argued that while closing hotels is beneficial, it only shifts the issue. He proposed using Nightingale processing centers to eliminate the need for temporary housing. Reform UK’s Zia Yusuf criticized the policy as a “shock” for taxpayers, noting that thousands of illegal migrants continue to enter the country and calling for stricter deportation measures.
Meanwhile, the Green Party has been invited to provide its response to the changes. The government remains focused on reducing small boat crossings, a goal it first outlined after the July 2024 election, though arrival numbers have stayed elevated at 100,625 in 2025.
