US EditionGovernment struggles to slash foreign aid spent on asylum hotels
- The UK Government plans to spend £2.2 billion of overseas development assistance on asylum seekers' accommodation this financial year, mainly covering hotel costs.
- This follows a pattern where the Home Office spent £2.3 billion in 2024/25 amid increasing asylum seeker numbers, and Labour promised to end asylum hotels at the last election.
- Reports show over 32,000 asylum seekers currently reside in hotels or private accommodation, while contracts signed in 2019 are estimated to cost £15.3 billion over 10 years.
- Labour and development experts criticize use of foreign aid for asylum hotels as unsustainable, while the government states it is accelerating decisions and returns to end hotel use and save £4 billion by 2026.
- This spending pattern risks cutting vital overseas humanitarian programs, with ongoing debate on balancing domestic asylum costs and maintaining international development commitments.
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Is the UK really spending £2.2bn of foreign aid budget on asylum hotels?
Labour has pledged to “end asylum hotels, saving the taxpayer billions of pounds” but an official report shows Home Office plans for spending on foreign aid to support asylum seekers is only set to reduce by around £1m this financial year.New figures show billions in overseas development assistance (ODA) alone is still being spent to support asylum seekers, including housing them in the UK.Here The i Paper looks at claims around the UK’s expendi…
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