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Home Office Closes 11 Asylum Hotels in Cost-Cutting Shift to Large Sites

Ministers say moving people to basic sites such as ex‑military barracks will cut costs to taxpayers.

Overview

  • The Home Office closed 11 asylum hotels on Tuesday, bringing the total number of hotel sites in use to just under 190.
  • Residents are being relocated into larger, more basic accommodation, including ex‑military barracks like Crowborough in East Sussex, which now houses about 350 people.
  • Officials say this round of closures will save about £65 million a year, with a pledge to end the use of hotels for asylum seekers by the next election.
  • The closures align with an industry day for a £10 billion re‑tender of asylum accommodation contracts for 2029 to 2036 that is designed to reduce reliance on hotels.
  • Local councillors have raised concerns about limited consultation and vetting as people are moved into dispersed housing in towns and villages, reflecting ongoing community tensions around site placements.