The UK government is reportedly planning to tackle the rising demand for asylum accommodation by using empty homes and unused buildings in partnership with local councils, according to the Daily Telegraph.
This approach is intended to ease the country’s reliance on hotels, which have been criticised for being costly and controversial.
The proposed scheme would see local councils working alongside the Home Office to either buy or lease unused properties — including old tower blocks, former student housing, and disused teacher training centres.
These buildings would be converted into medium-sized accommodation sites capable of housing groups of asylum seekers.
Government pilot schemes
The report also suggests that the government is considering trial schemes where local councils would receive funding to purchase or renovate properties, which would then be rented to the Home Office to accommodate asylum seekers.
Official data shows that there are around 700,000 empty homes across England, with large concentrations in cities such as London (93,600), Birmingham (13,162), Leeds (12,334), and Liverpool (10,779).
The government’s proposal includes bringing some of these vacant homes back into use, offering housing not just for migrants but also for those facing homelessness locally — aiming to serve both needs with one solution.
Asylum seeker housing bill
At present, roughly 32,000 asylum seekers are being accommodated in 210 hotels. This marks a drop from the peak of 56,000 people across 400 hotels back in September 2023 — a setup that was costing the public £9 million each day.
Despite the decline from last year’s high, the figure has slightly increased since June 2024, when approximately 30,000 asylum seekers were being housed in hotels just prior to Labour’s election win.
To help shift people out of hotel accommodation, the Home Office has adopted a ‘firm-but-fair’ approach. Asylum seekers are now being told they could lose access to state-provided housing and their weekly support of £49.18 if they refuse a second offer to move into alternative accommodation.
This policy comes in response to reports that many migrants have been refusing to transfer, with some hotels left nearly empty, housing only a few individuals at a time.
Identifying homes to use
Prime Minister Sir Keir Starmer recently emphasised to a government committee that a key priority is identifying properties that councils can build, secure, or repurpose for use.
He expressed a strong sense of urgency to push this change forward, highlighting the need to take control of available accommodation and reduce the backlog of asylum cases.
He stressed there was no other option, noting that many local authorities have housing that could be utilised, and efforts are underway to pinpoint where this is possible.
Grants for void properties
Joanna Rowland, Director General for Customer Services at the Home Office, explained to the committee that the pilot schemes are exploring different methods for offering housing. One approach involves giving grants to local councils and then leasing the properties back.
She also mentioned options such as funding the refurbishment of empty homes or providing support services without necessarily offering housing.
According to Rowland, these pilot schemes are essential in gathering evidence to help shape the next steps.
Seize empty properties
Angela Rayner, the Secretary for Housing and Communities, is supporting plans to allow local councils to take control of properties that have been empty for more than six months—a significant drop from the current two-year requirement.
However, her department has dismissed claims that these proposed powers are aimed specifically at asylum seeker accommodation, calling such suggestions “pure speculation.”
With a record 24,000 people arriving via the Channel this year, and a backlog of 80,000 initial asylum applications along with 41,000 appeals, the government is under mounting pressure to find lasting housing solutions.
A Home Office spokesperson told the Telegraph that the aim is to create a more stable and long-term approach to housing provision—one that’s locally driven, reduces pressure on affordable homes, and boosts the availability of suitable accommodation.
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