STORY
Allies of Andy Burnham have said he would end the multibillion-pound asylum accommodation contracts used to house migrants in hotels if he became Prime Minister. The Greater Manchester mayor is reported to favour replacing the private contractor model with a system giving local authorities greater responsibility for sourcing accommodation.
The current Home Office contracts with Serco, Mears and Clearsprings Ready Homes were signed in 2019 and include a break clause that can be used before they expire in 2029. Burnham’s supporters argue that the Government should use the clause to reduce reliance on hotels and move towards dispersal housing, although councils would face questions about capacity and funding.
The proposal comes as Labour continues to face pressure over asylum policy and the cost of hotel accommodation. Home Secretary Shabana Mahmood has said the system needs improvement, but the Government’s current position is to work within existing arrangements while seeking to end hotel use by 2029.