Asylum Seeker Hotel Accommodation: Reopening

Matt Vickers Excerpts

Tuesday 21st January 2025 Westminster Hall

[Matt Vickers (Stockton West) (Con)]

Thank you, Sir John, for chairing your third debate. I thank my hon. Friend the Member for Windsor (Jack Rankin) for proposing this discussion on an important issue for many MPs and their constituents across the country.

If we need to provide accommodation for those who arrive in the UK seeking asylum, it is critical that we do all we can to ensure that that accommodation is cost-effective and does not unduly burden our communities. Unfortunately, we know all too well that hotel accommodation for asylum seekers fails to meet either of those criteria. Despite the disagreements that have been expressed today, this is an issue on which all Members of the House can and should agree.

As the Minister is aware, significant steps were taken by the last Government to reduce the number of people housed in hotel accommodation, which went from a peak of 56,042 in September 2023 to 29,585 at the end of June 2024. That is a 47% decrease. That was accompanied by the closure of many hotels from their peak number. It was therefore welcome to see this Government’s manifesto promise to close asylum hotels entirely. The pledge was clear: the Government would “end asylum hotels”. That is a goal that we all hope they will achieve, as it would undoubtedly benefit communities across the country.

The unfortunate reality, however, is that since this Government took power, we have gone in the opposite direction. Official Home Office statistics show that as of 30 September, 35,651 people were in hotel accommodation, an increase of 21% since the general election. Instead of hotels being closed, we have seen the contrary: the Minister informed the House last week that there has been a net increase of six hotels since the election. We have heard from MPs that announcements about new hotels are often made with little notice, leaving minimal time to prepare and a lack of clarity. Although the Government should undoubtedly improve that process, surely the most impactful approach would be to reduce the reliance on hotel accommodation altogether.

Sometimes it is too easy to focus on statistics. Although they provide an important part of the picture, it is through speaking to residents that we hear about the very real consequences for communities. In November, Councillor Nathan Evans invited me to visit Altrincham to see the huge impact of such a hotel on his community. I spoke to residents, business owners and the local chamber of commerce about the direct and indirect effects of Labour’s decisions. They emphasised the need for safety, security and clear communication. Those were reasonable requests that they felt had fallen on deaf ears at both the Home Office and the local authority.

As well as the concerns about security, there was a very evident impact on the local economy. In Altrincham, the loss of nearly 300 hotel places in the local hospitality sector was huge. Families who had worked day and night for years to create incredible small businesses, operating in an already challenging environment, now had to deal with another huge and unpredicted blow to their footfall. I suggest that the Minister considers visiting Altrincham, not only to see some incredible small businesses with a unique offering, but to see the impact of the decisions she makes.

Too often, places like Altrincham receive information at the last minute, leaving them unable to prepare and taken aback by the sudden loss of normal business generated by these hotels. That lack of warning undermines trust and further fosters animosity towards the system. I understand that this is a complex issue, but will the Minister consider the suggestion that the shadow Home Secretary, my right hon. Friend the Member for Croydon South (Chris Philp), made in November: that greater notice be given to MPs before a hotel opens in their constituency? I also ask the Minister how sites are chosen and what consideration is given to proximity to local schools, care homes and centres for the vulnerable, as well as the impact on the local business community.

I recognise that the Minister and other hon. Members will point out that the number of people housed in hotels was too high under the last Government. They are correct, and my party does not shy away from that fact. The Leader of the Opposition has been clear that mistakes were made regarding immigration. Nevertheless, the last Government were taking steps to rectify these issues by closing hotels and attempting to halt illegal immigration. Since the election, however, we have seen increases both in contingency accommodation and in dispersal accommodation.

Ultimately, the Minister, like the rest of us, knows the root cause of the problem: the illegal and dangerous channel crossings. As of 19 January, 24,132 people had crossed the channel in small boats since the election, a 30% increase on the same period in 2023-24. What is more, the number of those being deported is actually going down.

We need a deterrent. If people arrive here illegally, they should not be allowed to stay. Until that is the case, they will continue to arrive in ever increasing numbers. Despite pledges to “smash the gangs”, it appears that the gangs remain active and evasive. This behaviour underscores the importance of deterrence, as highlighted by the National Crime Agency and reportedly by the head of the Government’s Border Security Command.

Policing alone is insufficient. The rise in small boat crossings illustrates that scrapping the UK’s deterrent policy before it had even started was a short-sighted decision; in fact, it was a decision of national self-harm. The deterrent approach has been successfully implemented in other countries such as Australia, which managed to resolve similar issues through decisive action. We have even seen it working here in the UK, with the Albania returns agreement reducing arrivals by more than 90%. Given the increasing numbers and the failure to reduce small boat crossings into this country, will the Government reconsider whether their approach to illegal migration has been effective thus far?

On costs, the Government’s policy is to expedite asylum decisions. Consequently, the costs associated with accepted migrants risk being obscured within the welfare system. The Home Office has previously acknowledged that it has no estimate of the potential cost of benefit claims and council-housing bills for those individuals. Will the Minister commit to recording and publishing the costs for migrants whose asylum claims are accepted?

I know that the Minister has previously stated that hotels are a temporary measure, not a solution. While she may be well intentioned, the continuing small boat crossings suggest that the need for contingency accommodation is unlikely to subside without decisive action. Can the Minister therefore explain whether there is a contingency plan should small boat crossings persist? Additionally, will the Government ensure that every possible policy option is explored to reduce the number of people in hotel accommodation in a cost-effective manner?

[Sir John Hayes (in the Chair)]

I call the Minister of State for Border Security and Asylum. Minister, I hope that you might finish at 6.03 pm to allow the hon. Member for Windsor to say a few words at the end.

--- Later in debate ---

[Dame Angela Eagle]

I am happy to go on to what we are doing, but the legacy that one inherits is important and has to be taken into account when thinking about how we deliver for the future. We said that the Rwanda scheme was not going to work and that we would restart asylum processing. We also said we were going to set up the Border Security Command, which has been done. Opposition Members will know that there is legislation pending on border security and asylum, which hopefully will come before the House in the not-too-distant future. It has taken shape, but it is going through various processes to get agreement on when we can publish and introduce it.

Given the concern of Members in this Chamber, I hope they will attempt to engage positively with the new Bill when it is published, so that we can get the Border Security Command up and running as quickly as possible with the correct powers, including counter-terrorism powers. That will allow us to take more effective action to start dismantling and disrupting the activities of the smuggler gangs. In the last few years we have seen them be allowed to grow across the channel, becoming increasingly sophisticated and industrialising their processes. I hope all Members will agree that we have a duty to take action. We want to restore order to the asylum system so that it operates compassionately and efficiently. That will enable us to exit hotels and bring down the cost of the asylum system by billions of pounds.

Let me address the motion specifically. The strain on the system has necessitated the continued use of hotels in the medium term to enable the Home Office to deliver its statutory responsibilities to house asylum seekers while their claims are looked at. Of course, the more efficiently and effectively we can look at the claims, the less trouble we will have trying to house people—as the Liberal Democrat spokesperson, the hon. Member for Mid Dunbartonshire (Susan Murray) said. I disagree with her comments about the right to work. There are legal ways of trying to get into this country with a right to work that are processed through the visa system. We cannot have people getting around that by coming illegally and then having the right to work. That would be a huge pull factor that we simply do not want to countenance. She and I will disagree about it, but that is the Government’s view.

Since the general election, nine hotels have closed. Fifteen hotels were opened temporarily, and I apologise to the hon. Member for Windsor for the speed with which that had to be done. It is not ideal and I would not want to be in that position again. I have asked Home Office officials to be more open and transparent, as far ahead of time as possible, to try to give warning. We do not want any nasty surprises, but the hon. Gentleman had one. I have apologised for that—

[Matt Vickers]

Will the Minister give way?

[Dame Angela Eagle]

I will be happy to, but let me finish apologising. I apologised to the hon. Member for Windsor in my response to the letter he sent me. It was not an ideal situation and it is not one we want to get into again.

[Matt Vickers]

What would the Minister say is a sensible period of notice that she would like the Home Office to give before migrants arrive in a hotel?

[Dame Angela Eagle]

We do not want to get into that situation, because we want to go down rather than up, but I would want notice of significant changes to be “as much as possible” because, sometimes, operational things occur. A hotel site can be lost—for example, we lost one in Manchester during the floods. Unexpected things can happen that have certain implications, so I will say it is as much notice as possible.

[Matt Vickers]

And MPs would know in advance?

[Dame Angela Eagle]

Yes, as much as possible and, I hope, more in advance than we managed during the openings that I talked about.

Since the general election, nine hotels have closed. There were 15 opened temporarily—which is what this debate is really about—and nine are scheduled for closure by the end of March 2025. I certainly hope that, as we look for more dispersed accommodation and a more effective, faster system, we will get to the stage where we do not have to open any more. I cannot give the hon. Member for Windsor any date when the hotel in his constituency might close but I am working to close all such hotels. As I have said on the record, the use of hotels is undesirable and is not value for money. It is unsustainable in the long term and we want to get away from it.

Given that it is 6.03 pm, I congratulate the hon. Member for Windsor on securing the debate. I am happy to stay in touch with him about what is happening with the hotel in his constituency.