Labour has been accused of "burning taxpayer money again" as asylum seekers could have their washing picked up for them and returned in a service run by a Home Office-hired laundry firm.
The taxpayer-funded Clearsprings is looking for a subcontractor to do dirty washing.
Talks are currently ongoing between them and French laundry firm Elis, which already has a contract with the NHS.
Reports suggest a trial will be rolled out in hotels in the Bristol area, if a deal is secured.
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Washing would be done at Elis' huge commercial facility in Bridgwater, Somerset.
No figure has been issued about the deal; however, critics say it is another example of wasting public funding.
A source said: "Most migrant hotels have a washing machine, why can't migrants use those?
"The Government has to provide for them, but every cog in the system knows it can be done cheaper."
The migrants' washing will be done at a massive commercial facility in Bridgwater, Somerset
| GETTYFormer Conservative minister Sir Alec Shelbrooke said: "It's one thing to provide a basic standard of hygiene, like using existing facilities, but another to supply migrant hotels with a silver service.
"This is once again an example of soft-touch Britain burning taxpayer money."
The Home Office said it is required by law to provide laundry facilities "in supported accommodation" and is currently reviewing contracts, aiming to save taxpayers' cash.
No deal has currently been secured.
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Clearsprings is owned by billionaire Graham King, who has contracts with the Government to provide migrant accommodation.
Mr King's company made nearly £187million in profits through lucrative Government contracts.
Clearsprings is one of three companies with a 10-year Home Office contract to provide accommodation services for asylum seekers.
Under current projections, Clearsprings will receive upwards of £7billion from accommodation services.
Clearspings currently supports around 30,000 asylum seekers
| PAMr King's company supports around 30,000 asylum seekers across the south of England, London and Wales.
Since 2019, Clearsprings and two other providers have posted profits of over £380million from the asylum contracts, according to the National Audit Office.
On its website, Clearsprings says it "prides itself on providing value for money, quality and transparency".
Migrants in the hotels provided by Mr King's company have complained about the standard of their living conditions, with one saying: "Try to live as an asylum seeker only for one day; the mattresses are dirty, the toilets, everything is dirty, broken."
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