Government recovers £74m from asylum hotel firms
Summary
The government has recovered £74 million from companies running asylum accommodation due to excessive profits. The total cost for asylum accommodation was £2.1 billion in 2024/25. The government plans to reduce costs by using alternative accommodations like military sites and aims to end the use of asylum hotels before the next general election.Key Facts
- The government recovered £74 million from asylum hotel companies.
- The total cost of asylum accommodation was £2.1 billion for the year 2024/25.
- Accommodation costs have decreased from the previous year's £3 billion.
- The government aims to stop using asylum hotels before the next general election.
- Cheaper accommodations and room sharing have reduced the nightly cost per person.
- Plans are in place to use military sites to house asylum seekers.
- Criticisms were made regarding the management of contracts and excess profits.
- The Home Office was criticized for not using mechanisms to reclaim excess profits earlier.
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