Britain faces an asylum bill timebomb under Labour | UK | News
England’s asylum system could face an extra cost of £1.4bn by 2028/29 if spending continues at current levels, the Office for Budget Responsibility (OBR) has warned in a shocking report. The budget watchdog’s dire prediction has cast serious doubt on Labour’s ability to deliver on promises to fix the broken system.
The OBR pulled no punches in its scathing assessment, warning that asylum spending could face staggering additional pressures of £1.4bn by 2028/29. The bombshell prediction dealt a major blow to Labour’s pledge to end housing asylum seekers in hotels by the next election and cut asylum spending by £1.1bn, GB News reports.
The watchdog said: “The Home Office Spending Review deal was struck on the basis that the Home Office will completely stop hotel use for asylum seekers in this Parliament and asylum spending will be £1.1bn lower (£2.5bn) in 2028-29 compared to plans for 2025-26.”
Small boat arrivals and assisted accommodation increase
But the OBR’s report found that the number of small boat migrants and asylum seekers arriving in supported accommodation had increased by 19% and 8% respectively compared to last year, painting a bleak picture of the challenges ahead.
“So far this year, the number of migrants arriving on small boats and asylum seekers in supported accommodation has increased by 19 percent and 8 percent respectively compared to last year,” the report said. The statement was included.
“If asylum spending remains at the 2024-25 level, this will mean £1.4bn of additional pressure on the Home Office budget by 2028-29.”
Refugee accommodation costs tripled
The shocking revelations come on the heels of a damning report from the National Audit Office (NAO) in May, which revealed that the cost of refugee accommodation is expected to more than triple over the next decade to reach an eye-watering £15.3bn. The NAO pointed out that demand for accommodation had increased for those previously detained under the Conservative Party’s failed Illegal Immigration Bill 2023.
Facing intense pressure, Sir Keir Starmer insisted he wanted asylum hotels to close “as quickly as possible”. In a desperate attempt to ease the burden, the Home Office has announced plans to temporarily house nearly 900 migrant men in two military barracks in Scotland and southern England.
Just weeks ago Home Affairs Minister Shabana Mahmood announced a series of tough reforms to the asylum system aimed at deterring illegal immigration and making it easier to deport those who don’t belong. According to the proposed changes, approximately two million immigrants who have arrived since 2021 will have to wait a difficult process of up to 10 years to obtain settled status.
Immigrants face a 20-year wait for a solution
Migrants relying on benefits will face a staggering 20-year wait for settlement; This is four times the current period and the longest in Europe. Their progress towards a solution will depend on their “contribution” to the UK under the Government’s “won” settlement plan.
The OBR added: “Whilst our forecast includes many of the changes outlined in the White Paper, we do not have sufficient detail on indefinite leave to remain to include these changes.”
“The government’s stated intention to consult on asylum policy also poses a risk to our forecasts.”
The damning findings emerged just hours after Chancellor Rachel Reeves launched a series of bombshell tax raids on her eagerly awaited Budget, heaping further misery on hard-pressed Britons already struggling with a cost of living crisis. With the asylum bill in danger of spiraling out of control, tough questions are being asked about Labour’s ability to get the system under control and deliver on its bold promises.
