Asylum Seeker Hotel Accommodation: Reopening

Susan Murray Excerpts

Tuesday 21st January 2025 Westminster Hall

[Susan Murray (Mid Dunbartonshire) (LD)]

It is a pleasure to serve under your chairmanship, Sir John. I am grateful for the opportunity to speak on the important issue of reopening hotels to accommodate asylum seekers. Despite repeated ministerial promises, we continue to see the result of a broken system—a system that has caused immense hardship for asylum seekers and communities and has placed a significant burden on taxpayers.

Let us be clear that this debate arises only because of successive Conservative Governments having failed to deal efficiently with the growing backlog of asylum claims. According to the Migration Observatory, the number of outstanding asylum applications under the Conservatives soared from 27,000 in 2018 to 132,000 by 2022. As of September 2024, Home Office data indicates that over 97,000 cases involving 133,000 individuals still await an initial decision, with a further 127,000 in the appeals and removal process. Despite repeated assurances, most claimants still wait beyond six months for any clarity on their status. During that process, asylum seekers are trapped, unable to work, unable to integrate and forced to depend on Government funds.

The reliance on contingency accommodation, whether in the form of hotels, barges or former military barracks, is an expensive sticking plaster to cover a deeper wound. It provides neither dignity for asylum seekers nor value for money for the taxpayer. We have heard Ministers assert that these hotels are only a short-term measure, yet Home Office figures show that there were over 35,000 individuals in hotel accommodation as of September 2024. Successive Governments have spoken of reducing dependency on this provision, yet the number of people in hotels remains persistently high. Worse still, the backlog remains alarmingly large and we are left grappling with new, reactive announcements rather than a cohesive plan.

The situation benefits no one. The fundamental problem is the time it takes to make decisions on asylum claims, coupled with the ban on working. It is the worst of both worlds: forced inactivity for those seeking safety and to pay their fair share, and an unnecessary bill for the public purse. The National Institute of Economic and Social Research estimates that granting the right to work would generate £1.3 billion in additional tax revenue and would reduce expenditure by as much as £6.7 billion each year. We could address the backlog more effectively and reduce the public cost if we ended the rigid prohibition on work, yet time and again Governments have resisted such a solution.

The Liberal Democrats have advocated a clear, sensible plan. First, we propose creating a dedicated, well-resourced processing unit that is separate from the Home Office, with a singular mission of resolving cases quickly. Secondly, we propose reinstating a six-month service standard so that claimants receive an initial decision quickly. Finally, we would grant asylum seekers the right to work after a set period, allowing them to pay their fair share instead of languishing in costly Government-funded accommodation or on street corners.

As we consider whether to reopen asylum hotels for asylum seekers, we must remember that no one genuinely wants this. Asylum seekers deserve dignified conditions, local communities deserve to feel safe from people loitering with nothing to do and taxpayers deserve an end to the wasteful spending brought on by Government’s incompetence. I urge colleagues from all sides of the House to support practical reforms as proposed by the Liberal Democrats, which will finally clear the asylum backlog, end the expensive overreliance on temporary accommodation, such as asylum hotels, and allow those who are seeking refuge to stand on their own feet and contribute to society.

[Sir John Hayes (in the Chair)]

I would like to call the Minister at 5.53 pm, which will give her 10 minutes.