Labour is set to reveal the closure of nearly a dozen asylum hotels in the coming days.
The plans, which will see 11 buildings close, mark the Government's latest bid to end the use of all migrant hotels before the current parliament concludes.
Nearly 200 hotels across the country currently provide shelter for approximately 30,000 asylum seekers.
A further 70,000 individuals are housed in alternative arrangements, including shared residences and former military installations.
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The practice of utilising hotels for this purpose has attracted significant controversy since it expanded during the onset of the coronavirus pandemic.
Robert Bates, Research Director at the Centre for Migration Control, told GB News: "The Government is not removing migrants but placing them in HMOs, old student accommodation blocks and whatever other sites it is able to get its hands on.
"This is wholly inappropriate, continues to leave communities vulnerable to the threats posed by unvetted men, and makes the likelihood of migrants simply absconding far higher.
"Rather than throwing billions at unscrupulous accommodation providers, this money should be spent on detention facilities and round-the-clock deportation flights."
The Government is set to announce the closure of 11 asylum hotels this week
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The use of asylum hotels has sparked multiple protests throughout the UK in recent years.
Demonstrations by anti-immigration activists have taken place outside these facilities, with protesters claiming those seeking asylum enjoy luxurious living conditions.
Violence has erupted at some sites, most notably in Rotherham during August 2024 when demonstrators attempted to set a hotel ablaze while asylum seekers remained inside.
Organisations supporting refugees maintain that hotels constitute unsuitable premises for extended stays.
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Sites like the military base at Crowborough have been earmarked for asylum seeker use
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A parliamentary inquiry determined the administration wasted billions on what it characterised as a "failed, chaotic and expensive system".
During testimony before the investigation, the Red Cross disclosed it withdrew £220,000 from emergency reserves to provide clothing for hotel residents.
Some of these individuals had developed scabies while in accommodation.
According to a report in The Guardian, the Home Office plans to convene a confidential gathering this week, termed an "industry day", bringing together existing and prospective suppliers of accommodation for those seeking asylum.
Attendees must sign non-disclosure agreements, and details regarding the precise timing and location will be withheld until shortly before the event commences.
This meeting concerns the procurement process for new contracts spanning September 1, 2029, through August 31, 2036, potentially extending to August 2039.
The package, designated Future Asylum Contracts Accommodation, carries an estimated value of roughly £10billion and seeks to reduce dependency on hotel-based housing.
Senior figures amongst present accommodation suppliers have voiced fears the revised contracts may expand the number of providers involved, which could increase the cost for taxpayers.
A Home Office spokesman defended the approach, saying: "This Government is removing the incentives drawing illegal migrants to Britain and ramping up removals of those with no right to be here.
"That is why we are closing every asylum hotel and moving asylum seekers into basic accommodation, including ex-military sites.
Inside Crowborough - Rob Bates warns such sites are 'wholly inappropriate' and 'leave communities vulnerable'
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"The population in asylum hotels has fallen by nearly 20 per cent in the last year and by 45 per cent since the peak under the previous government – cutting costs by nearly £1billion."
The department draws upon the overseas aid budget to finance asylum accommodation through a mechanism described as "in donor refugee costs".
Such expenditure declined from £2.8billion in 2024 to £2.4billion in 2025.
Gideon Rabinowitz, who serves as director of policy and advocacy at Bond, the UK network for NGOs working in international development, criticised this practice.
While supporting assistance for asylum seekers, he argued funding should come from Home Office budgets rather than overseas aid.
"Funding to support communities facing conflict and crisis worldwide fell by over £1billion in 2025, as 18 per cent of the budget continued to be diverted to cover asylum costs in the UK," Rabinowitz said.
"Lifesaving humanitarian programmes, including education provision in Syria and healthcare programmes across Africa, have already been forced to close, and with even deeper cuts still to be implemented this year and next, the worst consequences are yet to be realised."