£23m spent on unused asylum hotel sparks call for Rwanda plan

The Home Office signed a nine-month contract with the Atrium hotel near Heathrow to house asylum seekers last summer but later determined the facility was not required. The National Audit Office reported the cost of the unused hotel was £23 million.

The audit also revealed that asylum accommodation costs rose sharply, with initial estimates of £4.5 billion over 10 years increasing to £15.3 billion by 2024 due to higher-than-expected numbers of asylum seekers.

Labour, which came into power in 2024 with a pledge to end asylum hotels and save taxpayer money, has rejected the Conservative plan to send illegal migrants to Rwanda. Prime Minister Sir Keir Starmer declared the Rwanda plan 'dead and buried' upon taking office.

Conservative Shadow Home Secretary Chris Philp criticized Labour for continuing to sign contracts for asylum hotels despite promising to end them. He argued that the government should focus on deporting illegal migrants instead of spending taxpayer money on accommodation.

Former Home Secretary Dame Priti Patel called for a revival of the Rwanda plan, accusing Labour of wasting money on asylum hotels rather than deporting illegal migrants. Imran Hussain of the Refugee Council argued that hotels are unsuitable for asylum seekers and called for temporary Home Office accommodation in communities.

John O'Connell of the TaxPayers' Alliance expressed frustration over the £23 million waste, urging ministers to end the 'farce' and respect taxpayer money. A Home Office source defended the current government, stating it has closed all asylum hotels and saved £1 billion.