Three neighbouring towns in Lancashire — Burnley, Hyndburn (which includes Accrington) and Blackburn — now house more people claiming asylum per capita in private Houses of Multiple Occupation (HMOs) than anywhere else in England where government-contracted asylum hotels are not in use, according to local figures and interviews.

The shift follows government plans to close asylum hotels by 2029 and increase placements in shared private accommodation. Local councils and charities say the move has concentrated a growing number of people seeking refuge into nineteenth-century terraced housing and suburban HMOs across an 11-mile corridor that once powered Britain’s cotton industry.

In Burnley, local officials say 118 homes are being used to accommodate asylum seekers in a town of about 97,425 people. That equates to roughly 49 asylum seekers per 10,000 residents. Hyndburn Council, which covers Accrington, records about 435 asylum seekers in HMOs — about 51 per 10,000 — while Blackburn houses roughly 764 in private shared accommodation, or 46 per 10,000.

People living in the properties described their journeys to Britain and their experience after relocation. Dere Amo, 23, who fled violence in Nasiriyah in southern Iraq, described being processed in Dover and moved through a series of hotels before being placed in a four-bedroom Victorian end-terrace in Burnley where he lives with three other men. Dere said he paid people smugglers about €1,200 to cross the Channel from France, has been in the area for two years, and is awaiting a decision on his asylum claim.

"I came here because life in Iraq was too dangerous. There are too many armed militias and hardline extremists," he said. Dere said he has permission to work because of the length of his wait but lacks an e-visa that prospective employers require. He is studying English at Burnley College and said he hopes eventually to move to London where he expects more job opportunities.

Others described similar perilous journeys. Abiel, who fled Senafe in Eritrea last year, said he travelled through Europe to France and crossed the Channel in an inflatable dinghy. Ethiopian national Nahusenay Ayalew, 37, said he was smuggled across the Sahara and Mediterranean before paying €900 for a Channel crossing; he arrived in Lancashire in May after stays in hotels in Birmingham and Telford.

Local residents and community leaders described mounting tensions around the placements. Flags bearing St George’s cross and Union flags have been displayed in some neighbourhoods as part of a campaign called Operation Raise the Colours; some residents view the displays as patriotic, while others and several asylum seekers said they felt intimidated. Police have reported incidents of hostility, and one asylum seeker said he was assaulted in Burnley town centre.

Lancashire Police are also investigating a suspected arson attack on a Victorian Methodist church in the Gannow area of Burnley. The building, formerly a furniture workshop, was the focus of local rumours that it would be converted into housing for asylum seekers; council notices show plans to convert it into 48 studio flats intended for students. Police said an investigation is under way and the force is working with the fire service to determine the cause of the blaze and whether there are suspicious circumstances.

Local employers and residents cited pressure on the rental market and public services. A part-time tree surgeon who identified himself as Imra said recent rent increases have squeezed lower-income households, while a mechanic said some neighbours worry about turnover and community cohesion in streets with HMOs. Burnley Council data show the town has about 42,000 homes and that 118 of them are being used for asylum accommodation.

Authorities and contractors involved in asylum accommodation placement said they are attempting to manage support and security. Notices translated into several languages have been posted in some properties by Serco, the contractor that holds Home Office contracts to provide housing and support for asylum seekers in parts of the North West, warning residents about protesters targeting migrant accommodation.

Local government finances have been affected. Blackburn with Darwen Council received an increase in Home Office grants last month, rising from £561,000 to £865,000 to help cover costs associated with housing and supporting people seeking asylum, the council said. Blackburn has been a designated dispersal area for two decades and has an established framework for supporting refugees and asylum seekers.

Employment in Burnley in the year ending December 2023 was 76%, an improvement on the previous year and above the North West regional average, council figures show. Census data from 2021 show the town was 82.5% white and 14.7% Asian, with smaller shares identifying as Black or mixed race; Blackburn is more ethnically diverse, with about 35.7% of residents identifying as Asian.

Local officials said accommodating larger numbers of asylum seekers in private homes has raised planning, housing standards and social cohesion questions. Some residents and tenants welcomed the stability of house-sharing arrangements over hotels; others said the concentration of arrivals in particular streets has altered neighbourhood dynamics and put pressure on local infrastructure.

Home Office officials have said the government intends to end the use of asylum hotels and shift to more dispersed placement in HMOs and other forms of private accommodation by 2029. The department has estimated the move will reduce costs and enable a more sustainable system of support, but campaigners and councils have urged clearer guidance and increased local funding to manage the transition.

Charities working with refugees and asylum seekers have called for greater local services, including language tuition, mental health support and transport assistance to help newly arrived people integrate and access employment. Asylum seekers in the Lancashire towns said limited weekly support payments constrain their ability to travel to religious or community centres outside the area and to search for work.

Council leaders in the three boroughs said they are liaising with the Home Office and contractors to monitor placements and to provide support where needed. Police and community groups said they will continue to investigate incidents of intimidation and criminal damage and to promote local safety while councils and charities seek to expand services for newly arrived residents.

The clustering of asylum accommodation in Burnley, Hyndburn and Blackburn reflects a broader national challenge as Britain adapts its asylum accommodation policy and local areas contend with rapid changes in housing demand and community composition. Officials and residents in the towns say discussions about long-term housing strategy, funding and integration support will be critical in the months ahead.