Home Secretary Shabana Mahmood is set to announce new measures requiring asylum seekers to repay up to £10,000 of the costs incurred by the taxpayer for their accommodation while their claims are processed. The plan, which will be part of the new Immigration and Asylum Bill, proposes that these repayments could be deducted monthly from wages once the individual secures employment, similar to a student loan.
The government stated that last year, £4 billion was spent on asylum support in the UK, with the Home Office estimating the average cost to support a family of asylum seekers at £158,000 annually. Asylum hotels cost taxpayers an average of £144 per person per night, while self-catering accommodation costs over £23 per night. Asylum seekers in self-catering accommodation receive a weekly allowance of £49.18, and those on full board receive £9.95.
Mahmood said the cost of asylum accommodation is too high and that while asylum support is a right, it also entails responsibility. "Once people can contribute and repay the generosity of the British people, we expect them to do so," she stated.
The primary mechanism for repayment will be direct wage deductions, but the Home Office indicated it could also be managed through tax and benefits systems. Individuals must repay the full amount before becoming eligible for permanent residency in Britain. Those who leave the country will also need to be making repayments to be permitted to return.
However, significant questions remain regarding the practicalities of collecting these repayments. The scheme is means-tested, meaning individuals who can demonstrate they cannot afford to repay will be excused. The policy also faces uncertainty regarding how it will address undeclared, cash-in-hand employment and whether it might inadvertently encourage asylum seekers to remain jobless. Data indicates that only a quarter of adults granted asylum between 2015 and 2023 were employed within a year of their status being granted, rising to half within two years.
Shadow Home Secretary Chris Philp commented that the proposal appears to be a Labour adoption of a Conservative policy, which he claimed Labour had previously blocked. He criticized the government's approach, stating they have been "tinkering around the edges" and advocated for policies that would allow for the deportation of all illegal immigrants, thus negating the need to fund their accommodation. He suggested leaving the European Convention on Human Rights and modern slavery treaties as a means to facilitate deportations.