Ministers are considering allowing higher rents for private landlords to persuade them to offer properties for asylum accommodation and so spread people seeking asylum more evenly across the UK, government sources and refugee charities said.
The move is being discussed as part of a wider desire to shift the burden away from areas where asylum housing has concentrated because rents are cheapest. Officials say the policy — known as dispersal — has relied heavily on cheaper areas and may require changes to the strict caps the Home Office currently applies when paying landlords.
Policy shift aims to widen where asylum housing is offered
The proposal, which has been linked to calls by Greater Manchester mayor Andy Burnham for more areas to “play their part”, would see the Home Office permit higher payments for private rental properties so that landlords in a broader range of regions feel able to offer accommodation.
A Downing Street source told reporters the government’s primary objective remained reducing the overall need for asylum accommodation, but officials recognised that, without flexibility on rent ceilings, dispersal will continue to cluster in the most economically depressed areas.
Charities back national responsibility but demand local leadership
Refugee charities broadly support the principle that housing people seeking asylum should be a national responsibility, but they stress it must be done with careful local planning and resources.
“Ever since the policy of dispersing asylum seekers away from London and the south-east was introduced, we have been clear that supporting refugees should be a national responsibility and that people should not be sent to places without adequate housing, legal advice, support services or established refugee communities.”
The quote came from Imran Hussain, director of external affairs at the Refugee Council, who argued that local authorities should lead on asylum accommodation, drawing on “local knowledge” and being given the powers and funding necessary to provide support while also delivering value for taxpayers.
Practical and political consequences
Officials say two main mechanisms could be used to broaden dispersal: relaxing the Home Office’s rent caps for private landlords or increasing use of alternative sites such as former military barracks. The latter has been used previously as a lower-cost alternative to hotels. Ministers believe either approach could reduce concentrations in deprived areas but acknowledged trade-offs.
Refugee charities warn that any dispersal must ensure access to housing support, legal advice and established community networks. They also point to a wider problem within the asylum system: delays and flawed decision-making that leave people in limbo while awaiting appeals.
Hussain added that the new government’s priority should be improving the accuracy and speed of asylum decisions so fewer people remain in the system for extended periods because of overturned or flawed rulings.
What this could mean on the ground
If ministers lift rent caps, private landlords in higher-cost areas may be more likely to offer properties, reducing pressure on towns and inner-city neighbourhoods that currently host large numbers of asylum seekers. However, policymakers will need to coordinate with local councils to ensure support services are in place.
- National dispersal: Seeks to share responsibility beyond London and the south-east.
- Higher rents: Would aim to broaden landlord participation but requires funding changes.
- Local leadership: Charities insist councils must lead and be resourced adequately.
The debate touches on questions of value for money, community cohesion and the capacity of local authorities to house and support people seeking asylum. Ministers will weigh these practical considerations against political pressures to reduce overall asylum accommodation costs and to demonstrate a fairer national approach.
| Issue | Consideration |
|---|---|
| Rent caps | May be raised to attract landlords in higher-cost areas |
| Alternative sites | Former barracks and other properties could supplement dispersal |
| Local authority role | Councils must have powers and funding to manage accommodation and services |
Ministers have not announced a formal change. Any adjustment will need to balance fiscal constraints with the government’s stated aim of ensuring asylum accommodation is a national responsibility rather than being concentrated in a limited number of areas.
