The Signal Intel

**Key Figures:** - **£4.76 billion** spent on asylum accommodation in 2024/25 (down 12% from £5.38bn peak in 2023/24) - **32,059 asylum seekers** in UK hotels by end of June 2025 (up 8% year-on-year from 29,585) - **Nightly hotel rates** dropped from £162 to £119 between April 2024 and March 2025 - **London outlier**: 65% of asylum seekers placed in hotels in capital (vs national average 37%) - **111,084 people** applied for asylum in year to June 2025 (highest since records began in 2001) - **90,812 people** waiting for initial decision at end of June 2025 (down 17% from March) **Context:** - Labour inherited system with 56,042 asylum seekers in hotels at peak (September 2023) - Current hotel numbers still below Conservative peak but rising under Labour - Home Office pushing down nightly rates and increasing occupancy to cut costs - Labour pledged to phase out hotels by 2029 but faces legal challenges and protests **Significance:** Despite 12% spending reduction, hotel placements increased 8% under Labour government, showing ongoing high costs of asylum accommodation system.

**Key Finding:** Home Office refused FOI request from journalist Lewis Brackpool seeking details about which NGOs and charities shape asylum accommodation policy, citing journalist's social media activity as a "safety risk." **Details:** - FOI request sought internal notes and summaries from National Asylum Stakeholder Forum (NASF) and Strategic Engagement Group (SEG) - Home Office used Sections 36 and 38 of Freedom of Information Act to justify secrecy - Claimed disclosure could lead to "public backlash" and endanger individuals involved in policy meetings - Officials argued transparency could "reduce quality of decision-making" and place "additional strain on public order resources" - MP Rupert Lowe wrote to Home Secretary calling it "clear breach of FOI Act 2000 and its central principle that requests must be treated applicant-blind" **Significance:** Government department using requester's identity and social media activity to block transparency about NGO influence on asylum accommodation policy, which involves billions in taxpayer spending.

**Source:** GB News / Epping Forest District Council **Date:** March 2026 **CASE DETAILS:** - Location: The Bell Hotel, Epping, Essex - Issue: Legal challenge to stop asylum seekers being housed at hotel - **Outcome:** Legal battle FAILED - **Cost to taxpayers: £566,000** (Epping Forest District Council expenditure) **NOTE:** Bell Hotel has been a focal point for protests against asylum accommodation. Council's failed legal challenge adds to taxpayer burden while achieving no reduction in asylum hotel usage. **CONTEXT:** This is separate from the actual cost of housing asylum seekers at the hotel, which is paid by the Home Office.

**Source:** Home Office Annual Accounts 2024-25; National Audit Office Report **Date:** Figures published 2025 **ASYLUM HOTEL EXPENDITURE:** - **2024-25 (Apr 2024 - Mar 2025): £2.1 billion total** - **Daily rate: £5.77 million per day** - **2023-24 comparison: £3 billion total, £8.3 million per day** - Year-on-year reduction of approximately 30% **TOTAL ASYLUM SYSTEM COST:** - **2024-25: £4.76 billion** - **2023-24: £5.38 billion (record high)** - 12% reduction year-on-year **CURRENT HOTEL POPULATION:** - 32,059 asylum seekers in hotels (June 2025) - Peak was 56,042 (September 2023) - Hotels house 35% of all asylum seekers **CONTRACT COST INEFFICIENCY:** - Hotels = 35% of people but 76% of annual contract costs - Hotel cost: £1.3 billion out of £1.7 billion estimated 2024-25 contract costs **GOVERNMENT TARGET:** End asylum hotel use by 2029

PARLIAMENTARY REPORT: Home Affairs Committee - "The Home Office's management of asylum accommodation" (Fourth Report Session 2024-26, October 2025) KEY FIGURES: - Expected cost of asylum accommodation contracts (10 years, 2019-29): £15.3 billion (more than tripled from original £4.5 billion estimate) - Asylum seekers accommodated: 47,500 (end 2018) → 103,000 (June 2025) - Hotel occupants: 32,059 people (June 2025), down from peak 56,042 (September 2023) - Hotels in use: 273 (March 2024) reduced by 71 FOI-DERIVED DATA (via BBC Verify): - Hotel accommodation spend: £2.1 billion (April 2024 - March 2025) - Previous year: £3 billion (2023-24) - Daily average cost: £5.77m (down from £8.3m) - Average nightly cost per person: £118.87 (down from £162.16 in March 2023) - 273 hotels in use as of March 2024 WRITEOFFS/FAILED SCHEMES: - £48.5 million written off for RAF Scampton site (Labour scrapped Conservative asylum barracks plan) - £270 million paid to Rwanda not refunded after scheme scrapped DISTRIBUTION ISSUES: Accommodation unevenly distributed, creating community tensions and pressure on local services. Limited progress on fairer distribution plans. Source: Parliamentary publication; BBC Verify FOI analysis

Home Affairs Committee report on asylum accommodation (published 27 October 2025, Government response January 2026): - Asylum accommodation costs trebled from original estimate: £4.5 billion to £15.3 billion over 10 years - Hotel accommodation accounts for 35% of people in asylum accommodation but 76% of annual contract costs (£1.3 billion of £1.7 billion in 2024-25) - Number of people in Home Office asylum accommodation rose 134% between December 2019 (47,000) and 2024 (110,000) - NAO report confirms excess profits owed by providers yet to be reclaimed - No performance penalties applied for poor performance at Napier, Wethersfield or asylum hotels - Home Affairs Committee Chair: "The Home Office has presided over a failing asylum accommodation system that has cost taxpayers billions of pounds"

The UK will spend £2.1 billion on housing and welfare for asylum seekers in 2025-26 financial year, according to the Independent Commission for Aid Impact (ICAI). This represents £19,163 per person compared to an average of just £4,600 in other major countries. Spending was £2.8 billion last year (2024), and while reduced, remains 'far above historical levels'. The watchdog warns that only 'modest reductions' are expected in coming years, with asylum costs continuing to absorb approximately one-fifth of the UK aid budget. The shift to 'large sites' (former military sites, barges, unused office buildings) could actually cost more than hotels. Home Office officials focus on 'meeting statutory obligations' while the impact on aid budget is 'outside their control'. Aid charities condemn using overseas development funding for UK asylum support.

The Home Office is terminating its £2 billion annual contract with Stay Belvedere Hotels (SBHL), one of the largest providers of asylum accommodation, citing concerns about the company's performance and behaviour. SBHL provides around 25% of Home Office asylum accommodation across 51 hotels in England and Wales, plus Napier Barracks in Kent. The contract was originally agreed in 2019 under a sub-contract with accommodation services provider Clearsprings. The earliest point at which the Home Office can exit the contract without break penalties is September 2026. Border security and asylum minister Angela Eagle said 'significant elements' of the company's behaviour 'fell short of what we'd expect from a government supplier'. The government will conduct a 'full audit' of its supply chains.

North Ayrshire Health and Social Care Partnership approved severe budget cuts after facing a £9m cash deficit (reduced from £17m after Scottish Government covered NHS staff pay awards). The Integration Joint Board voted 6-1 to implement a 'critical only' threshold for funded social care support, meaning only the most critical cases will receive funded care. The policy takes effect from April 1, 2026, applying to all new community care assessments and existing service users at their next review. Labour councillor Nairn Angus-McDonald warned this would mean "longer waits, deteriorating health, preventable crises becoming unavoidable emergencies."

Rotherham Council approved a 3.95% council tax rise on March 4, 2026, increasing Band D bills by £73.89 to £1,944.52 annually. Council leaders cited rising costs, particularly in social care, with the authority expecting to spend around £13.4m more on adult and children's care services this year due to rising demand and increasingly complex needs. While government funding increased by £13.2m, officers stated much of this additional money will be absorbed by these pressures. The budget passed with Labour majority support while Liberal Democrat, Conservative and Reform councillors voted against.

Foreign Secretary Yvette Cooper announced on March 19 2026 that UK aid spending on overseas programmes will reach its lowest level since records began in 1970, falling to 0.24% of GNI by 2027-28. The cost of housing asylum seekers in UK hotels - running at roughly £2bn a year - is taken from the aid budget, directly reducing funds available for international development programmes. This comes as the government cuts about £6bn from the overseas aid budget by 2027 to fund defence spending increases.

Hackney Council has approved a 4.99% council tax rise for 2026/27, with Band D properties paying £2,060.30 annually. The budget includes £33.8m in spending cuts as the borough grapples with sharp increases in demand for social care and homelessness prevention services. Despite a 25% increase in core spending power from central government over four years until 2029/30, the council still needs to find £10m more in savings by the end of the decade. The budget allocates £201m for managing and maintaining council homes, £130m to support financially vulnerable residents, and £23.5m on street cleaning and waste collection.

The Independent Commission for Aid Impact reports that UK asylum support costs £19,163 per person compared to an average of just £4,600 for other major countries. The UK will spend £2.1 billion on housing and welfare for asylum seekers in 2025-26, down from £2.8 billion last year. Despite this reduction, the watchdog predicts only 'modest reductions' in future spending. The funding system 'has not encouraged long-term planning to secure improvements in value for money' and there has been 'serious and sustained criticism of the Home Office's management' of in-donor refugee costs (IDRC). The Home Office has little incentive to make efficiencies because asylum support comes from the UK aid budget rather than Home Office funds.

The Guardian reports that the cost of housing asylum seekers in UK hotels - running at roughly £2 billion a year - is taken from the foreign aid budget. This comes alongside 56% cuts to bilateral aid to African countries (from £818m in 2026 to £677m by 2029). By 2027-28, aid spending on overseas programmes is expected to reach its lowest since records began in 1970.

Wigan Council has approved a 4.99% council tax rise from April 2026, equating to around £1.30 per week for Band A households and £1.94 per week for Band D properties. The budget includes a savings target of £14.2 million for the year, with 2% of the rise ring-fenced for adult social care. Opposition councillors criticised the 'above inflation rise' hitting struggling families.

Home Office data shows £2.1 billion was spent on hotel accommodation for asylum seekers between April 2024 and March 2025, down £900 million from the previous year. As of December 2025, 30,657 asylum seekers were housed in hotels across the UK, with 147 in Coventry hotels specifically. The Home Office has pledged to 'close every asylum hotel' by 2029, with work underway to use more suitable sites like military barracks.

In a speech on 5 March 2026, Home Secretary Shabana Mahmood stated that last year alone, £4 billion was spent on asylum accommodation in the UK. She also revealed that over 100,000 people currently live in asylum accommodation paid for by the taxpayer, including both those awaiting asylum claims/appeals and thousands who have failed their claims but cannot be returned to their home country. The Home Secretary noted that supporting a family of 3 in asylum hotel accommodation costs up to £158,000 per year.

Knowsley Council has confirmed a 4.99% council tax increase for the 2026/27 financial year, the maximum amount available. The local authority warned that without the increase, around £4m of funding would be lost annually and the council would face financial failure. Key details: - 4.99% council tax increase approved - Without increase, £4m annual funding loss projected - Council finance lead admitted government support "still not enough" - Band A properties face approximately 25p per week increase - No cuts to services for seventh year running claimed - No job losses at local authority claimed - Council leader said "difficult decisions" had to be made given increasing financial pressures and rising demand for services

The UK government has announced major cuts to its foreign aid budget, with bilateral aid to African nations falling by almost £900 million by 2028-29 - a 56% reduction. This is part of saving efforts intended to free up funds for defence spending. The cuts will affect programmes supporting vulnerable populations across Africa, the Middle East, and other low-income regions. Key details: - Bilateral overseas development aid to Africa will fall from £818 million in 2026 to £677 million by 2029 - Funding will be "fully protected" for Ukraine, Palestine, Lebanon and Sudan - Mozambique and Pakistan are among those having the biggest cuts to their direct grants - Aid to G20 countries outside conflict zones (Brazil, India, Indonesia, South Africa) will largely be phased out - The UK will pivot to multilateral aid contributions through World Bank and African Development Bank rather than direct funding - Costs for housing asylum seekers in UK hotels (£2 billion annually) will still come from the aid budget - UK overseas aid will fall to 0.24% of gross national income by 2027-28 - lowest since records began in 1970

The Independent Commission for Aid Impact (ICAI) report reveals that UK spent £2.8bn on housing asylum seekers and migrants in 2024, representing 20% of the entire foreign aid budget. This is down from £4.3bn (28% of aid budget) in 2023. The reduction is attributed to reduced hotel use and increased returns of failed asylum seekers. However, the ICAI warns that these "in-donor refugee costs" (IDRC) pose a "serious risk to value for money" as they automatically displace funds from overseas development spending regardless of value for money relative to UK objectives. The UK's spending on asylum accommodation is "double or triple" that of other comparable nations and is the highest cost per head.

One of the UK's biggest asylum accommodation providers, Mears, has returned £13.8m to the Home Office after making more profit than its contracts allow. The company's permitted rate of profit on these contracts is capped at about 6%, but Mears' operations across the UK exceeded that limit by £13.8m. Mears recorded its highest rate of profit in Northern Ireland, peaking at 17%. The differential was due in part to the fact asylum seekers in Northern Ireland do not have to be dispersed among different local authorities like they do in the rest of UK, reducing transport and administrative costs. The company said it is working to end its use of hotels with about 246 asylum seekers currently housed in them in Northern Ireland.

The UK is cutting bilateral aid to Africa by 56% by 2028/9 compared to 2024/5 levels, as part of 40% overall aid budget cuts. Countries affected include Kenya (£80m aid in 2024/5), South Africa (£11m), Uganda (£44m), Sierra Leone (£30m), and Malawi (£50m). Meanwhile, asylum accommodation costs consume approximately 20% of the total UK aid budget (£2.1bn in 2025-26). Climate finance also falls from £11.6bn over five years to 2026 to £6bn over the next three years - a drop of almost 15%.

The Independent Commission for Aid Impact report reveals the UK will spend £2.1 billion on housing and welfare for asylum seekers in 2025-26, with costs reaching £19,163 per person - compared to an average of just £4,600 for other major countries. Spending was £2.8 billion last year. The watchdog warns only 'modest reductions' are expected in future, and asylum support will continue to absorb approximately one-fifth of the UK aid budget. Home Office officials have little incentive to make efficiencies because asylum support comes from the aid budget, not Home Office funds.

The Home Office is terminating its contract with Stay Belvedere Hotels (SBHL), one of the largest providers of asylum accommodation, worth around £2 billion per year. SBHL houses asylum seekers in 51 hotels in England and Wales plus Napier Barracks in Folkestone. The contract, awarded in 2019, will end at the earliest opportunity in September 2026 after a review raised concerns about the company's performance and behaviour. The Home Office said it would not hesitate to take further action to ensure contracts deliver value for money.

Government statistics show the UK spent £2.8bn, or 20% of its foreign aid budget, supporting refugees and asylum seekers within the UK in 2024. This includes accommodation costs for thousands of asylum seekers who have recently arrived. The foreign aid budget is being cut from 0.5% to 0.3% of GNI by 2027, with total aid estimated at £9.2bn at 0.3%. This means domestic asylum support continues to consume a significant portion of the reduced aid budget.

Bradford Council approves 4.99% council tax rise for 2026-27 financial year. Authority needs to make £60.6m in savings. Band D properties face £93.40 annual increase (£1.80/week), Band A properties £62.28/year (£1.20/week). Council tax rose by just under 10% in 2025, prompting protests. Labour leader Susan Hinchcliffe said budget invests in young people and restores previously cut services. Conservative group proposed 3.99% rise but was criticised as 'unworkable'.

Home Office terminating asylum accommodation contract with Allerton Court Hotel in Northallerton (Rishi Sunak's constituency). Hotel has housed family groups of asylum seekers for several years. Contract termination effective from beginning of June 2026. Part of government plan to end use of hotels for asylum accommodation by 2029. Last year, Home Office considered using hotel for single male asylum seekers but dropped plan after opposition from council and Sunak. Home Office says 'work is well under way to close every asylum hotel, with more suitable sites being brought forward to ease pressure on communities and cut asylum costs'.

Foreign Secretary Yvette Cooper announced UK will cut £6bn from overseas aid budget by 2027 to fund defence spending increases. Africa faces 56% cuts (£900m reduction) from £818m to £677m by 2028-29. Meanwhile, UK spent £2.8bn (20% of entire aid budget) on asylum seekers in UK in 2024. Funding protected for Ukraine, Palestine, Lebanon, Sudan while poorest nations face severe reductions. Bilateral aid to G20 countries (Brazil, India, Indonesia, South Africa) being phased out. UK aid spending falling to 0.24% of GNI by 2027-28 - lowest since records began in 1970.

Government recovered £74m from excessive profits made by companies running asylum accommodation following contract review. However, overall asylum accommodation cost was £2.1bn in 2024/25 - average of £5.77m per day. This makes the recovered sum less than the cost for the government of accommodation every fortnight. Costs reduced from £3bn (£8.3m per day) in 2023/24 to £2.1bn (£5.77m per day) in 2024/25 due to room sharing and cheaper accommodation.

The Home Office has terminated the asylum accommodation contract with Allerton Court Hotel in Northallerton, Richmond and Northallerton constituency of former Prime Minister Rishi Sunak. The hotel will stop housing family groups of asylum seekers from beginning of June 2026. The government has pledged to end use of hotels for asylum seekers entirely by 2029. North Yorkshire Council leader Carl Les welcomed the move but requested more information about plans for moving asylum seekers out of hotels into other accommodation. Sunak said he was 'encouraged' by the update.

Conservative-led Epping Forest District Council spent £566,000 on a failed legal battle to stop asylum seekers being housed at The Bell Hotel in Epping. The council lost its High Court case in November 2025. The legal bill represents 2.64% of the council's £21.4m budget for 2026/27. Costs awarded to Home Secretary Shabana Mahmood (£66,000) and Somani Hotels Ltd (£95,000) were included in the total. The council returned to court on March 5 2026 seeking leave to appeal. The figure was revealed via a BBC Freedom of Information request accurate as of February 2026.

Foreign Secretary Yvette Cooper announced on March 19 2026 that UK bilateral aid funding will be reduced with 'fully protected' funding for Ukraine, Palestine, Lebanon and Sudan next year. Mozambique and Pakistan face the biggest cuts to direct grants. Africa funding will be cut by 56% (£900m reduction) while conflict zones receive protected funding. The government announced last year it would cut about £6bn from overseas budget by 2027 to fund defence spending increase. Aid groups criticised 'reckless' cuts and Labour MP Sarah Champion warned the approach would 'make the whole world more vulnerable'. Bond warned of severe cuts particularly for Middle East and Africa.

The UK government is cutting bilateral aid to Africa by 56% (£874m reduction) from 2026-2029, reducing funding from £818m in 2026 to £677m by 2029. This comes as the cost of housing asylum seekers in UK hotels runs at roughly £2bn per year, which is taken from the aid budget. By 2027-28, aid spending on overseas programmes is expected to reach its lowest since records began in 1970 at just 0.24% of gross national income. The cuts will affect programmes in schools, clinics, healthcare, and education across Africa, while domestic asylum accommodation costs continue to consume aid resources.

According to Migration Observatory analysis for 2024/25, the average daily cost of housing an asylum seeker in a hotel is £170 per person, compared to £27 for other types of accommodation - over six times more expensive. The three-month average nightly rate in asylum hotels declined from £162 in April 2024 to £119 in March 2025. With 32,345 asylum seekers in hotels as of March 2025, this costs approximately £3,849,055 per night (£119 × 32,345). The cost reduction is attributed to Home Office closing some hotels, accommodating more people per hotel, implementing room-sharing policies, and choosing cheaper hotels.

Glasgow City Council is facing a £110m budget gap by 2028, with more than £65m of the shortfall from pressure associated with homelessness. The council houses around 4,000 asylum seekers, which is putting pressure on city services. Costs from a UK Government decision to speed up processing of asylum claims will rise to £43m in 2025/26 and £66m in 2026/27 unless policy changes. Even with a 5% council tax increase for two years, the council would still face an £80m black hole.

The cost of housing asylum seekers in UK hotels - running at roughly £2bn a year - is taken from the aid budget. This means that by 2027-28, aid spending on overseas programmes is expected to reach its lowest since records began in 1970, at just 0.24% of gross national income. This represents a dramatic reduction from previous levels and reflects the impact of asylum accommodation costs consuming the aid budget.

TaxPayers' Alliance research reveals local authority spending on social care for adult asylum seekers increased by 165% from £50.6 million in 2019-20 to £133.9 million in 2024-25. Total council spending on asylum seeker social care (including children) reached £744 million in 2024-25. Key data: - Adult asylum support spending rose from £61 million in 2021-22 to £191 million in 2022-23 (211% increase in one year) - Spending on unaccompanied asylum-seeking children (UASC) reached £322.6 million in 2024-25, up 32% since 2022-23 - Children's asylum social care spending: £287.2 million for children with families, £322.6 million for unaccompanied children - Top spending councils: Kent (£41.6m), Hampshire (£23.9m), Manchester (£23.2m) - Kent's costs quadrupled from £9.9m to £41.6m; Hampshire went from zero to £23.4m; Surrey increased from £1,243 to £22.6m - Per household spending varies: City of London highest at £400/household, Islington £133/household, average across all authorities £34/household This spending is separate from Home Office asylum support (hotels, housing, meals, subsistence payments) and includes practical support like interpretation, language services, help accessing health/housing/education/legal services, and care placements for children.

The Independent Commission for Aid Impact (ICAI) follow-up report reveals UK spending on 'in-donor refugee costs' (asylum accommodation and support) reached £4.3 billion in 2023, constituting 28% of the entire UK aid budget. This represents a sharp increase from £1.1 billion (9% of aid budget) in 2021 and £3.7 billion (29%) in 2022. Key findings: - UK spending on asylum accommodation is "double or triple" that of other comparable nations and is the highest cost per head - The UK takes a "maximalist approach" to reporting in-donor refugee costs compared to most large donors - Roughly £50 million of aid spend went towards unused hotel rooms in December 2023 alone (translating to over £500m annually) - Hotel accommodation accounts for disproportionate costs: 35% of asylum seekers in hotels but 76% of accommodation contract costs - In-donor refugee costs have continued to increase despite government initiatives to move away from hotels - Almost exactly the same number of asylum seekers were accommodated in hotels in December 2023 as December 2022 (more than 45,700 people) The report warns this spending "poses a serious risk to value for money" and undermines development objectives as funds meant for overseas aid are diverted to domestic asylum accommodation.

Home Office figures show £2.1bn was spent on asylum accommodation in 2024/25, averaging about £5.77m per day. This was a reduction from the previous year when accommodation cost £3bn (£8.3m per day). The government recovered £74m from excessive profits made by companies running asylum accommodation following a contract review. Average hotel accommodation costs £144.98 per person per night compared to £23.25 for dispersal housing. Hotel accommodation accounted for 76% of the annual cost of the Home Office's asylum contracts despite only housing 35% of people in asylum accommodation.

The UK government has announced major cuts to foreign aid, with bilateral aid to African countries to be reduced by almost £900 million by 2028-29 - a 56% cut. This is part of £6bn in cuts funding increased defence spending. Only three recipients will see aid spending fully protected: Ukraine, Palestinian territories and Sudan. Bilateral overseas development aid to Africa will fall from £818m in 2026 to £677m by 2029. The cuts will affect programmes such as schools and clinics in some of the world's poorest countries. The government's own equality impact assessment shows the cuts will leave children, people with disabilities and older people more vulnerable across Ethiopia, Mozambique, Rwanda, Tanzania and Zambia. Fewer girls and children with disabilities will be able to go to school in South Sudan. Cuts to programmes in Somalia are likely to heavily affect access to health services for women and children.

Bond analysis reveals that funding for the fourth round of International Climate Finance appears to have been reduced to just £6 billion over three years (averaging £2bn per year), despite the government previously claiming climate is a priority. This is part of broader aid budget cuts that will see UK aid spending on overseas programmes fall to the joint lowest since records began in 1970 – at just 0.24% of GNI by 2027-28. The Foreign Secretary's speech outlines that spending in Fragile and Conflict Affected States (FCAS) will increase to over 70% of all country and regional spending by 2028/29, but as bilateral aid as a proportion of the UK aid budget is being reduced, directing the vast majority of limited bilateral aid towards FCAS will mean less money for many of the world's poorest communities elsewhere.

Home Office statistics show the asylum appeal backlog has nearly doubled in a year to more than 80,000 cases waiting to be reassessed at the end of 2025 - a 91% increase. The backlog significantly outnumbers the 64,000 people waiting for initial decisions. Average time for an appeal to be heard is now up to 63 weeks. Two-thirds of appeals result in the initial asylum refusal being overturned, either by tribunal ruling or Home Office withdrawal. Most of those awaiting appeal are housed in Home Office accommodation (hotels), with 31,000 asylum seekers in hotels at end of December 2025 - 5,000 fewer than September 2025 but still 1,000 more than when Starmer took office. This backlog represents massive ongoing accommodation and processing costs for taxpayers.

Angus Council in Scotland has voted to increase council tax by 9.38% for 2026-27. The average Band D property will now pay £1,598.65 per year, up from £1,461.52. This represents an increase of £137.13 annually for Band D taxpayers. The council leader stated that had Angus council tax matched the Scottish average from 1997 to 2025, the council would have accrued an additional cumulative income of £108m. The approved budget incorporates £10.9m of uncommitted reserves and includes £500,000 for modern graduate apprenticeships and traineeships, plus another £500,000 for complex care transitions for children moving into adulthood.

For 2025-26, the Home Office provides funding to local authorities of £1,200 per asylum seeker accommodated as of 30 March 2025 (paid by 30 June 2025). Additional payments of £100 per month for each extra occupied bed space between April 1, 2025 and March 31, 2026 if occupancy increases above the March 31, 2025 figure. This funding structure is outlined in the Home Office's Asylum Grant Funding Instruction for Local Authorities 2025-26.

A Home Affairs Committee report found that expected costs for asylum accommodation contracts from 2019-2029 have tripled from £4.5 billion to £15.3 billion. The report criticises the Home Office for failing to reclaim excess profits from asylum accommodation providers. Northern Ireland's costs are projected to rise from £100 million to £400 million over the same period. The committee says billions of pounds are being wasted on asylum hotels through flawed contracts and incompetent delivery.

Birmingham City Council has approved a 21% council tax rise and £300m cuts to public service funding over two years. The Labour-led council agreed the cuts on 5 March 2026 to recover from effective bankruptcy. A 9.99% increase this year alone will push up the average household bill by more than £160, from £1,630 to £1,794. Cuts affect libraries, social care and bin collections. Adult social care budget cut by £77m over two years, and £120m cut from children and families services. The council must sell £1.25bn in assets to repay government bailout loans. Birmingham has lost over £1bn in funding since 2011.

Home Office spends an average of £144.98 per night on each asylum seeker housed in hotel accommodation, compared to £23.25 per person per night in dispersal accommodation. In 2024-25, the Home Office spent £4bn on asylum support, with £2.1bn spent on hotels. Expected costs of Home Office accommodation contracts for 2019-2029 have tripled from £4.5 billion to £15.3 billion. Companies providing asylum accommodation have made £383m in profits since contracts began, with Mears Group expecting to repay approximately £13.8m to the Home Office and Clearsprings approximately £32m in excess profits.

The UK government announced last year it would cut about £6bn from the overseas aid budget by 2027 to fund an increase in defence spending. Aid spending will drop from 0.5% of GNI to 0.3% by 2027, with aid at 0.3% of GNI in 2027 estimated to total £9.2bn - the lowest in cash terms since 2012. The cuts will provide £500 million for defence in 2025/26, £4.8 billion in 2026/27, and £6.5 billion in 2027/28. Bilateral aid to Africa will be reduced by almost £900m by 2028-29 - a 56% cut. The government spent £2.8bn (20% of its aid budget) supporting refugees in the UK in 2024, including accommodation costs for asylum seekers.