Home Secretary Shabana Mahmood is set to end the government's duty to support all destitute asylum seekers, a move aimed at shutting down more asylum accommodation hotels. Sources indicate the policy shift is part of Sir Keir Starmer's government's effort to show progress on deterring small boat crossings and reducing the asylum bill.
Targeted Withdrawal of Support
The Home Secretary intends to begin evicting people from hotels in the spring of 2026. According to reports first published by the i paper, the new rules will target specific groups. Support will be removed from asylum seekers who could support themselves financially but choose not to, those who have a right to work, individuals who break the law or work illegally, and those who refuse an order to leave the UK.
This policy is expected to affect thousands of the 111,651 people currently receiving payments or accommodation from the Government. However, many are likely to remain eligible for support under the revised criteria.
Reducing the Hotel Estate and Exploring Alternatives
The latest available figures, from the end of September, show around 36,000 asylum seekers were housed in hotels. The Home Office states that fewer than 200 hotels are now in use, with Ms Mahmood reportedly expecting further closures by April 2026.
Other policies under consideration include:
- Finding alternative accommodation such as military barracks or houses in multiple occupation (HMOs).
- Expanding the 'one-in, one-out' deal with France.
- Striking a new returns agreement with Germany.
In a significant development, asylum seekers from Syria could also face removal to their home country. The Government now deems it safer following the fall of the Assad regime at the end of 2024.
Internal Backlash and Political Context
A Labour source described the Home Secretary as "a woman in a hurry", working tirelessly to introduce reforms to "restore order and control to our borders." The government is keen to demonstrate action, as 41,472 people crossed the Channel in small boats in 2025, the second-highest annual total on record. So far in 2026, just 32 people arrived in a single boat on January 5.
However, Mahmood's approach has sparked a backlash from within her own party. Last year, Labour backbenchers publicly condemned a "shameful" package of measures. In November, former frontbencher Richard Burgon said the government's asylum plans "scrape the bottom of the barrel" and represent "a desperate attempt to triangulate with Reform."
The policy has also drawn commentary from the opposition. Shadow justice secretary Robert Jenrick claimed in a column that "mass migration and the abject failure of integration" had impacted policing in some areas.