Article | Archive
The Telegraph. Published: 25 April 2025
The Home Office has launched a drive for landlords to house asylum seekers following a surge in Channel migrant crossings.
Serco, one of three private contractors working for the Home Office, is offering landlords five-year guaranteed full rent deals to house asylum seekers at the taxpayer’s expense.
In promotional literature, the firm boasts that it is already responsible for more than 30,000 asylum seekers in an “ever growing” portfolio of more than 7,000 properties.
The move comes after a new record for daily small boat arrivals was set earlier this month, with officials braced for more in good weather next week, with temperatures set to hit 27C.
Migrant accommodation has become a growing issue on the doorstep, with one Labour candidate vowing to close a local asylum hotel ahead of next week’s local elections and Runcorn by-election.
On Friday night, Labour was accused of taking homes away from British people and “giving a better deal in favour of illegal immigrants than people who have lived, worked and paid tax here all their lives”.
Landlords were invited to a Serco event at a four-star hotel in the Malvern Hills next month, with the contractor saying it was “looking for” landlords, investors and agents with properties in the North West, the Midlands and the east of England to lease for over five years.
A website page with the heading “Calling all landlords” tells prospective clients: “We are confident that our lease provision offers an attractive and competitive proposition within the industry.” They are promised rent paid “on time every month with no arrears”, full repair and maintenance, free property management and utilities and council tax bills paid by Serco.
Housing migrants in private accommodation is cheaper than hotels, costing as little as £14 per night compared to around £145.
The use of landlords was first introduced by the Conservatives more than a decade ago. It is being expanded under Labour as the Government faces a growing number of migrants crossing the Channel and seeks to end hotel use.
During the general election campaign, Sir Keir Starmer pledged to “end asylum hotels, saving the taxpayer billions of pounds”.
However, the latest Home Office data showed that there were 38,000 asylum seekers in hotels as at December last year, costing £5.5 million a day and up from 29,585 last June, just before the election.
Migrant Channel crossings are on the rise, with 9,638 people arriving illegally so far this year, 44.5 per cent higher than the same point last year and the largest number since the first small boats arrived in 2018.
Home Office figures show that contractors are now responsible for housing 65,700 asylum seekers, a 10-year high and double the 31,000 in “dispersal accommodation” in 2014.
The landlord drive is targeted at HMOs – houses in multiple occupation – family property, former care homes, residential and student accommodation.
It is estimated there are now at least 16,000 “dispersal accommodation” properties run by the three contractors, also including Mears and Clearsprings.
Shortly after last year’s election, Rachel Reeves, the Chancellor, claimed that an overspend of £4.6 billion on migrant hotels had contributed to a £22 billion black hole Labour said it had inherited from the Conservatives.
Karen Shore, Labour’s Runcorn and Helsby candidate, who is running to replace the disgraced MP Mike Amesbury, said that closing the local asylum hotel was one of her “priorities”, complaining that “millions of pounds have been sunk into these hotels”.
The Government says it has reduced the number of asylum hotels since the election, sped up asylum decision-making to get applicants out of taxpayer-funded accommodation and removed more than 24,000 migrants, the highest number in a nine-month period for eight years.
A Home Office spokesman said: “These arrangements with the private rented sector have been in place for years, including under the previous government. We have a statutory duty to support destitute asylum seekers who will not be able to pay for fees such as utilities and council tax.
“We are restoring order to the asylum system and cutting costs to taxpayers by reducing the number of people we are required to accommodate through a rapid increase in asylum decision-making and the removal of more than 24,000 people with no right to be in the UK.”
However, Chris Philp, the shadow home secretary, said: “This lays bare Labour’s shameful failures. Because they have let in record numbers of illegal immigrants so far this year, via Serco the Government is offering better than market terms to landlords to house them.
“This is taking away homes that hard-working, tax-paying Britons who are struggling to find a place to rent need. Labour is once again giving a better deal to illegal immigrants than people who have lived, worked and paid tax here all their lives. These illegal immigrants should have been sent to Rwanda, not put up in nice flats.”
But a Labour source hit back, saying: “It’s worth reminding the shadow home secretary that this has happened since 1999. This includes all of his tenure in the Home Office and the last 14 years of the Tory government.
“He well knows that Labour inherited a system in complete chaos. He had stopped making decisions and left people stranded, so more hotels were needed. Instead of harping from the sidelines, he should reflect on his mistakes.”
The fresh drive has sparked a backlash from councils and charities, which have said young British workers, families and homeless people are losing out as the contractors push up the cost of housing and deny them cheaper properties.
There are an estimated 1.3 million people on social housing waiting lists amid acute shortages of cheaper private rented accommodation.
One council leader said: “It’s Serco who are encouraging landlords to exploit taxpayers, then it’s blamed on councils because of the impact it has on local rents, services and social cohesion. I don’t think it’s good for the fabric of society or the individuals involved.”
A housing executive who has advised the Government said the move was denying homes to local people, adding: “Whether they are long-term residents of the UK or immigrants, they should surely come ahead of asylum seekers and illegal migrants who turn up and demand assistance.
“It seems an unfair way to deal with the people in Britain who are struggling by taking away accommodation that they could benefit from.”
On Friday, The Sun reported that a hotel firm housing asylum seekers had made £700 million in a year from the taxpayer.
Enver Solomon, the chief executive of the Refugee Council, said: “We have long been concerned that the dispersal system in its current form is deeply flawed and must be reformed.
“Dysfunctional and costly, it comes at terrible value for taxpayers’ money, but also sees people in need of safety being accommodated in very isolated areas with little support. This makes it really difficult for those recognised as refugees to properly integrate into British life.
“Instead of working with private contractors, which helps no one by disrupting local housing supply, the Government must work in close partnership with local authorities. This is a much more reliable arrangement and the surest way of delivering suitable, cost-efficient accommodation for people who come to this country in need of safety.”
Serco declined to comment. The Home Office said its Malvern Hills event had been cancelled after being contacted by The Telegraph.
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That other article from The Sun is informative: Article | Archive - Published: 24 April 2025
The Telegraph. Published: 25 April 2025
Starmer to rent homes for Channel migrants
The Home Office has launched a drive for landlords to house asylum seekers following a surge in Channel migrant crossings.
Serco, one of three private contractors working for the Home Office, is offering landlords five-year guaranteed full rent deals to house asylum seekers at the taxpayer’s expense.
In promotional literature, the firm boasts that it is already responsible for more than 30,000 asylum seekers in an “ever growing” portfolio of more than 7,000 properties.
The move comes after a new record for daily small boat arrivals was set earlier this month, with officials braced for more in good weather next week, with temperatures set to hit 27C.
Migrant accommodation has become a growing issue on the doorstep, with one Labour candidate vowing to close a local asylum hotel ahead of next week’s local elections and Runcorn by-election.
On Friday night, Labour was accused of taking homes away from British people and “giving a better deal in favour of illegal immigrants than people who have lived, worked and paid tax here all their lives”.
Landlords were invited to a Serco event at a four-star hotel in the Malvern Hills next month, with the contractor saying it was “looking for” landlords, investors and agents with properties in the North West, the Midlands and the east of England to lease for over five years.
A website page with the heading “Calling all landlords” tells prospective clients: “We are confident that our lease provision offers an attractive and competitive proposition within the industry.” They are promised rent paid “on time every month with no arrears”, full repair and maintenance, free property management and utilities and council tax bills paid by Serco.
Housing migrants in private accommodation is cheaper than hotels, costing as little as £14 per night compared to around £145.
The use of landlords was first introduced by the Conservatives more than a decade ago. It is being expanded under Labour as the Government faces a growing number of migrants crossing the Channel and seeks to end hotel use.
During the general election campaign, Sir Keir Starmer pledged to “end asylum hotels, saving the taxpayer billions of pounds”.
However, the latest Home Office data showed that there were 38,000 asylum seekers in hotels as at December last year, costing £5.5 million a day and up from 29,585 last June, just before the election.
Migrant Channel crossings are on the rise, with 9,638 people arriving illegally so far this year, 44.5 per cent higher than the same point last year and the largest number since the first small boats arrived in 2018.
Home Office figures show that contractors are now responsible for housing 65,700 asylum seekers, a 10-year high and double the 31,000 in “dispersal accommodation” in 2014.
The landlord drive is targeted at HMOs – houses in multiple occupation – family property, former care homes, residential and student accommodation.
It is estimated there are now at least 16,000 “dispersal accommodation” properties run by the three contractors, also including Mears and Clearsprings.
Shortly after last year’s election, Rachel Reeves, the Chancellor, claimed that an overspend of £4.6 billion on migrant hotels had contributed to a £22 billion black hole Labour said it had inherited from the Conservatives.
Karen Shore, Labour’s Runcorn and Helsby candidate, who is running to replace the disgraced MP Mike Amesbury, said that closing the local asylum hotel was one of her “priorities”, complaining that “millions of pounds have been sunk into these hotels”.
The Government says it has reduced the number of asylum hotels since the election, sped up asylum decision-making to get applicants out of taxpayer-funded accommodation and removed more than 24,000 migrants, the highest number in a nine-month period for eight years.
A Home Office spokesman said: “These arrangements with the private rented sector have been in place for years, including under the previous government. We have a statutory duty to support destitute asylum seekers who will not be able to pay for fees such as utilities and council tax.
“We are restoring order to the asylum system and cutting costs to taxpayers by reducing the number of people we are required to accommodate through a rapid increase in asylum decision-making and the removal of more than 24,000 people with no right to be in the UK.”
However, Chris Philp, the shadow home secretary, said: “This lays bare Labour’s shameful failures. Because they have let in record numbers of illegal immigrants so far this year, via Serco the Government is offering better than market terms to landlords to house them.
“This is taking away homes that hard-working, tax-paying Britons who are struggling to find a place to rent need. Labour is once again giving a better deal to illegal immigrants than people who have lived, worked and paid tax here all their lives. These illegal immigrants should have been sent to Rwanda, not put up in nice flats.”
But a Labour source hit back, saying: “It’s worth reminding the shadow home secretary that this has happened since 1999. This includes all of his tenure in the Home Office and the last 14 years of the Tory government.
“He well knows that Labour inherited a system in complete chaos. He had stopped making decisions and left people stranded, so more hotels were needed. Instead of harping from the sidelines, he should reflect on his mistakes.”
The fresh drive has sparked a backlash from councils and charities, which have said young British workers, families and homeless people are losing out as the contractors push up the cost of housing and deny them cheaper properties.
There are an estimated 1.3 million people on social housing waiting lists amid acute shortages of cheaper private rented accommodation.
One council leader said: “It’s Serco who are encouraging landlords to exploit taxpayers, then it’s blamed on councils because of the impact it has on local rents, services and social cohesion. I don’t think it’s good for the fabric of society or the individuals involved.”
A housing executive who has advised the Government said the move was denying homes to local people, adding: “Whether they are long-term residents of the UK or immigrants, they should surely come ahead of asylum seekers and illegal migrants who turn up and demand assistance.
“It seems an unfair way to deal with the people in Britain who are struggling by taking away accommodation that they could benefit from.”
On Friday, The Sun reported that a hotel firm housing asylum seekers had made £700 million in a year from the taxpayer.
Enver Solomon, the chief executive of the Refugee Council, said: “We have long been concerned that the dispersal system in its current form is deeply flawed and must be reformed.
“Dysfunctional and costly, it comes at terrible value for taxpayers’ money, but also sees people in need of safety being accommodated in very isolated areas with little support. This makes it really difficult for those recognised as refugees to properly integrate into British life.
“Instead of working with private contractors, which helps no one by disrupting local housing supply, the Government must work in close partnership with local authorities. This is a much more reliable arrangement and the surest way of delivering suitable, cost-efficient accommodation for people who come to this country in need of safety.”
Serco declined to comment. The Home Office said its Malvern Hills event had been cancelled after being contacted by The Telegraph.
----------------
That other article from The Sun is informative: Article | Archive - Published: 24 April 2025
Fury as hotel firm housing asylum seekers in ‘all-inclusive resort’ paid £700m a year of YOUR money
The hotels have been likened to all-inclusive resorts for offering entertainers, fitness classes, guitar lessons and fresh meals.A HOTEL firm housing asylum seekers raked in £700million a year in taxpayers’ cash.
Stay Belvedere Hotels Ltd, which runs 51 UK sites, has been a big winner from the boats crisis. Crossings stand at 9,638 already this year.
Labour has pledged to close the hotels and “save billions”.
Providing rooms for asylum seekers costs £5.5million a day, with 38,000 people housed in around 210 sites.
Shadow Home Secretary Chris Philp said: “The taxpayer is picking up the bill for Labour’s loss of control of our borders.
“So far 2025 has been the worst year ever for migrants crossing the Channel, who invariably end up in taxpayer-funded hotels or flats.
“They should be in Rwanda but Labour cancelled that scheme before it started.”
“We have made changes to save the taxpayer billions and are committed to exiting asylum hotels altogether.”
One of Stay Belvedere's asylum seeker hotels has been likened to an all-inclusive resort for offering entertainers, fitness classes, guitar lessons and fresh meals.
The Ibis Budget in Bishop’s Stortford, Herts, is one of around 210 hotels housing 38,000 asylum seekers at a cost of £5.5million a day.
The mostly-male population can choose from a timetable of activities including singing and cookery classes. English lessons are provided along with a support service for immigration cases.
A twice-daily free bus ferries them to town where they spend their £8-a-head weekly allowance — also funded by taxpayers.
Children are entertained by the visiting Buffy Playbus, a charitable organisation funded by donations.
A whistleblower told The Sun: “It is a very well-run hotel with loads on offer. It’s basically at the same level as the four-star all-inclusive I went to on holiday last year.
“They get three fresh meals a day included. Fresh fruit is available around the clock.
“I don’t begrudge the kids getting the help and the residents are generally polite. But it does make you wonder will they ever want to leave?
"They all have phones and I imagine they send pictures to their mates saying, ‘Come over here!’ ”
Stay Belvedere Hotels, which runs the Ibis, recently had its Government contract ended for 51 UK hotels they operate, because their behaviour “fell short of expectations”.
Their deal — part of a £2billion contract for accommodation — will now end in September 2026.
Asked about the daily running of the Ibis Budget and the activity timetable, a spokesperson would say only: “SBHL has provided a consistent bus service, which has been well-received by guests.”
The Home Office says there are fewer asylum hotels open than when Labour came to power in July — when 213 were in use.
More are set to be closed, but 206 are still expected to be in operation by the end of next month.
Ending their use was a key election pledge from Labour, a task they said would be “saving the taxpayer billions”.
Shadow Home Secretary Chris Philp last night said it was “another Labour promise that has turned out to be a lie”.
He added: “These migrants shouldn’t be getting cooking lessons in hotels — they should have been sent to Rwanda.”
Demand for the migrant-housing hotels is unlikely to be stemmed any time soon, with 2025 crossings on track to break records.
Some 9,638 have crossed in small boats this year — 45 per cent more than this time last year.
Home Office data released last month revealed that about 10,000 people who arrived in the UK with a visa, such as for study or work, were now being provided with taxpayer-funded asylum digs.
The figure raised concerns that migrants who could financially support themselves — a fact they would have had to declare to get a visa — are still being given free stays.
To access asylum support, claimants have to tick a box saying they would otherwise be destitute. People are unable to work while asylum claims are being processed.
The Home Office said they will start reviewing the finances of residents staying in hotels from May.
Labour has blamed the Tory government for allowing a backlog of unprocessed claims to build up.
The latest data shows that at the end of the year, 41,987 people were waiting for a decision on their asylum applications.
Mr Philp highlighted that 8,000 more immigrants were in hotels since the election.
He added: “It’s an insult to the taxpayer to discover that all the extra taxes Starmer has imposed are being squandered on accommodating illegal immigrants in hotels with nice activities. Starmer is a weak PM letting Britain down.”
A Labour source hit back: “The Tories let the asylum system spiral out of control, with 400 hotels costing £8million a day at its peak.
“We have already made changes to save the taxpayer billions on the asylum system and are committed to exiting asylum hotels altogether.”
The 70-room Ibis, close to Stansted, is believed to have last been open to the public in 2021.
A villager in nearby Birchanger said they were baffled by the arrival of the asylum seekers.
They said: “It’s a quaint location and they’re plonked in the middle of the countryside. We see them walking around and getting on the bus. They keep to themselves.”
A mile down the road, the £140-a-night Great Hallingbury Manor has reopened to the public after we revealed how in November 2022 it had been closed to house 50 male asylum seekers.
Latest accounts for Stay Belvedere Hotels show that in the year to September 2022 the company had a turnover of £704.6million, making a pre-tax profit of £62.6million.
The majority of SBHL’s business is believed to be their Government contracts for asylum hotels.
SBHL was removed as a government contractor last month but is still operating for now.
Minister for Border Security and Asylum Angela Eagle said then: “Since July, we have improved contract management and added more oversight on our suppliers of asylum accommodation.
“We have made the decision to remove Stay Belvedere Hotels from the supply chain and will not hesitate to take further action to ensure Home Office contracts deliver.”
SBHL did not respond to requests about their earnings.
The Home Office said last night: “In autumn 2023, there were more than 400 asylum hotels in use at a cost of almost £9million a day.
In the months before the election, the asylum backlog soared again as decision-making collapsed, placing the entire asylum system under unprecedented strain.
“That was the situation the Government inherited but we have begun to restore order, with a rapid increase in asylum decision-making and the removal of over 24,000 people with no right to remain.
“The Home Office does not fund activities for those in asylum hotels.
“These may be provided by voluntary organisations.
“This hotel is currently being transitioned to a new provider.”
Stay Belvedere Hotels Ltd, which runs 51 UK sites, has been a big winner from the boats crisis. Crossings stand at 9,638 already this year.
Labour has pledged to close the hotels and “save billions”.
Providing rooms for asylum seekers costs £5.5million a day, with 38,000 people housed in around 210 sites.
Shadow Home Secretary Chris Philp said: “The taxpayer is picking up the bill for Labour’s loss of control of our borders.
“So far 2025 has been the worst year ever for migrants crossing the Channel, who invariably end up in taxpayer-funded hotels or flats.
“They should be in Rwanda but Labour cancelled that scheme before it started.”
'Loss of control'
A Labour source hit back: “Tories let the accommodation system spiral out of control, with 400 hotels costing £8million a day at its peak.“We have made changes to save the taxpayer billions and are committed to exiting asylum hotels altogether.”
One of Stay Belvedere's asylum seeker hotels has been likened to an all-inclusive resort for offering entertainers, fitness classes, guitar lessons and fresh meals.
The Ibis Budget in Bishop’s Stortford, Herts, is one of around 210 hotels housing 38,000 asylum seekers at a cost of £5.5million a day.
The mostly-male population can choose from a timetable of activities including singing and cookery classes. English lessons are provided along with a support service for immigration cases.
A twice-daily free bus ferries them to town where they spend their £8-a-head weekly allowance — also funded by taxpayers.
Children are entertained by the visiting Buffy Playbus, a charitable organisation funded by donations.
A whistleblower told The Sun: “It is a very well-run hotel with loads on offer. It’s basically at the same level as the four-star all-inclusive I went to on holiday last year.
“They get three fresh meals a day included. Fresh fruit is available around the clock.
“I don’t begrudge the kids getting the help and the residents are generally polite. But it does make you wonder will they ever want to leave?
"They all have phones and I imagine they send pictures to their mates saying, ‘Come over here!’ ”
Stay Belvedere Hotels, which runs the Ibis, recently had its Government contract ended for 51 UK hotels they operate, because their behaviour “fell short of expectations”.
Their deal — part of a £2billion contract for accommodation — will now end in September 2026.
Asked about the daily running of the Ibis Budget and the activity timetable, a spokesperson would say only: “SBHL has provided a consistent bus service, which has been well-received by guests.”
The Home Office says there are fewer asylum hotels open than when Labour came to power in July — when 213 were in use.
More are set to be closed, but 206 are still expected to be in operation by the end of next month.
Ending their use was a key election pledge from Labour, a task they said would be “saving the taxpayer billions”.
Shadow Home Secretary Chris Philp last night said it was “another Labour promise that has turned out to be a lie”.
He added: “These migrants shouldn’t be getting cooking lessons in hotels — they should have been sent to Rwanda.”
Demand for the migrant-housing hotels is unlikely to be stemmed any time soon, with 2025 crossings on track to break records.
Some 9,638 have crossed in small boats this year — 45 per cent more than this time last year.
Home Office data released last month revealed that about 10,000 people who arrived in the UK with a visa, such as for study or work, were now being provided with taxpayer-funded asylum digs.
The figure raised concerns that migrants who could financially support themselves — a fact they would have had to declare to get a visa — are still being given free stays.
To access asylum support, claimants have to tick a box saying they would otherwise be destitute. People are unable to work while asylum claims are being processed.
The Home Office said they will start reviewing the finances of residents staying in hotels from May.
Labour has blamed the Tory government for allowing a backlog of unprocessed claims to build up.
The latest data shows that at the end of the year, 41,987 people were waiting for a decision on their asylum applications.
Mr Philp highlighted that 8,000 more immigrants were in hotels since the election.
He added: “It’s an insult to the taxpayer to discover that all the extra taxes Starmer has imposed are being squandered on accommodating illegal immigrants in hotels with nice activities. Starmer is a weak PM letting Britain down.”
A Labour source hit back: “The Tories let the asylum system spiral out of control, with 400 hotels costing £8million a day at its peak.
“We have already made changes to save the taxpayer billions on the asylum system and are committed to exiting asylum hotels altogether.”
The 70-room Ibis, close to Stansted, is believed to have last been open to the public in 2021.
A villager in nearby Birchanger said they were baffled by the arrival of the asylum seekers.
They said: “It’s a quaint location and they’re plonked in the middle of the countryside. We see them walking around and getting on the bus. They keep to themselves.”
A mile down the road, the £140-a-night Great Hallingbury Manor has reopened to the public after we revealed how in November 2022 it had been closed to house 50 male asylum seekers.
Latest accounts for Stay Belvedere Hotels show that in the year to September 2022 the company had a turnover of £704.6million, making a pre-tax profit of £62.6million.
The majority of SBHL’s business is believed to be their Government contracts for asylum hotels.
'Begun to restore order'
The 2022 accounts say the business was reliant on a single agency agreement. It is run by Safwan Adam, 37, a Lib Dem donor, and Bassam Gilini, 37, a property tycoon.SBHL was removed as a government contractor last month but is still operating for now.
Minister for Border Security and Asylum Angela Eagle said then: “Since July, we have improved contract management and added more oversight on our suppliers of asylum accommodation.
“We have made the decision to remove Stay Belvedere Hotels from the supply chain and will not hesitate to take further action to ensure Home Office contracts deliver.”
SBHL did not respond to requests about their earnings.
The Home Office said last night: “In autumn 2023, there were more than 400 asylum hotels in use at a cost of almost £9million a day.
In the months before the election, the asylum backlog soared again as decision-making collapsed, placing the entire asylum system under unprecedented strain.
“That was the situation the Government inherited but we have begun to restore order, with a rapid increase in asylum decision-making and the removal of over 24,000 people with no right to remain.
“The Home Office does not fund activities for those in asylum hotels.
“These may be provided by voluntary organisations.
“This hotel is currently being transitioned to a new provider.”
