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Asylum hotel costs push foreign aid to lowest in 50 years

UNITED KINGDOM, JUL 14 – The Independent Commission for Aid Impact reports asylum costs will reach £1.8 billion in 2027-28, consuming 20% of the UK aid budget amid rising refugee numbers and accommodation expenses.

  • A recent report from the UK’s aid spending watchdog highlighted that a substantial share of the foreign aid budget is being allocated to cover asylum-related expenses.
  • This rise is driven by extended accommodation in asylum hotels and specific immigration arrangements benefiting Afghan and Ukrainian refugees, set against a backdrop of global conflicts and escalating humanitarian demands.
  • Asylum-Related spending is expected to reach £2.2 billion in 2026-27, a fifth of the total £10 billion overseas aid budget then, which is shrinking due to defence funding priorities.
  • The National Audit Office warned accommodation costs could total £15.3 billion over ten years, while Conservatives called the costs 'eye-watering' and 'utterly indefensible.'
  • Experts stress that continuing to fund refugee housing from a diminished aid budget reduces support for global vulnerable populations and urge creative, ambitious government responses.
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·London, United Kingdom
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Daily Express broke the news in United Kingdom on Monday, July 14, 2025.
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