Newcastle City Council is in direct talks with the Home Office to close a city centre hotel currently used to house asylum seekers. This move comes as part of a wider national effort to stop using hotels for asylum accommodation and find more suitable, community-based solutions.
The discussions between Newcastle City Council and the Home Office have gained urgency in recent months. As of August 2025, both sides are working to end the use of hotels for asylum seekers in Newcastle, reflecting a growing push across the United Kingdom 🇬🇧 to change how people seeking asylum are housed. The council’s leader, Cllr Karen Kilgour, has made it clear that she opposes the use of hotels and wants the council to have a bigger say in where and how asylum seekers are placed.
Why the Change Is Happening
The use of hotels for asylum seekers has been a controversial topic for years. Hotels were meant to be a short-term fix, but as the number of people seeking asylum grew and the backlog of cases increased, more hotels were used for longer periods. This led to concerns about the cost, the quality of life for asylum seekers, and the impact on local communities.
According to the Home Office, the number of asylum seekers living in hotels dropped from 38,079 at the end of 2024 to 32,345 by March 2025. This reduction is part of a plan to move people out of hotels and into other types of housing, such as former Ministry of Defence sites or homes in local communities. The government’s updated policy, known as the Allocation of Asylum Accommodation Policy (Version 13, June 2025), sets out these changes and aims to make the system fairer and more efficient.
Local Voices and National Promises
Cllr Karen Kilgour, leader of Newcastle City Council, has spoken out against the use of hotels for asylum seekers. She says, “We want to see an end to these contracts that place vulnerable people in unsuitable accommodation. Newcastle is proud to be a City of Sanctuary, and we believe local councils should have a real say in how asylum seekers are supported and integrated into our communities.”
National leaders have also promised change. Chancellor Rachel Reeves has announced extra funding and a national goal to end hotel use for asylum seekers by the end of the current Parliament, expected in 2029. Home Secretary Yvette Cooper supports a faster asylum process, especially for people from countries considered safe, to help reduce the need for hotels and speed up decisions.
How the System Works Now
Right now, the Home Office decides where asylum seekers are placed, working with private companies that run the accommodation. Local councils like Newcastle City Council have little control over these decisions, even though they are responsible for many local services. The council is now pushing for a bigger role, arguing that local input will help make sure people are housed in places that meet their needs and support community integration.
The government’s latest policy says that single adult men may be placed in sites like Napier, while families and vulnerable people should be given community-based housing. The maximum stay in temporary sites such as Napier is capped at 90 days. The Home Office must also follow recent High Court rulings, which require them to consider the impact on equality and make sure accommodation is suitable for each person’s needs.
What This Means for Asylum Seekers
If the hotel in Newcastle closes, asylum seekers living there will be moved to other types of accommodation. The Home Office says it will use suitability criteria to decide where people go, with special attention to families, children, and people with health needs. The aim is to provide safer, more stable housing and help people settle into local communities.
Moving away from hotels is also meant to reduce pressure on local services and save money. Hotels are much more expensive than other types of housing—on average, seven times more costly. By finding better solutions, the government hopes to use public funds more wisely and improve the experience for asylum seekers.
Community Concerns and Reactions
Many advocacy groups and local leaders have criticized the use of hotels for asylum seekers. They point to problems like overcrowding, lack of privacy, and poor mental health among residents. There have also been protests and tensions in Newcastle and other cities, with some local people worried about the impact on their neighborhoods and others calling for more support for those seeking asylum.
Cllr Kilgour and other local leaders argue that involving councils in the decision-making process will help address these concerns. They believe that with the right support, asylum seekers can become part of the community and contribute in positive ways.
Background: How Did We Get Here?
The United Kingdom 🇬🇧 started using hotels for asylum seekers more often after 2020, when the number of people seeking asylum rose and there was not enough long-term housing available. The backlog of asylum cases grew, and hotels became a quick fix. But this solution brought new problems, including high costs and difficulties for both asylum seekers and local communities.
Since 2023, the government has tried to change the system. The focus has shifted to dispersing people to different areas, speeding up asylum decisions, and finding better housing options. The goal is to stop using hotels for asylum seekers completely by 2029.
Looking Ahead: What’s Next?
Talks between Newcastle City Council and the Home Office are ongoing. Both sides expect that hotel use in Newcastle will end soon, in line with the national target. The government is likely to introduce more changes, such as faster asylum processing and more use of alternative accommodation sites.
Newcastle City Council is pushing for a model that gives local authorities more control and focuses on helping asylum seekers become part of the community. This approach could serve as an example for other cities facing similar challenges.
Practical Steps and Resources
For those affected or interested in following these developments:
- Check the Newcastle City Council website for updates on local decisions and support services: new.newcastle.gov.uk
- Review the Home Office’s official asylum accommodation policy for the latest rules and procedures: gov.uk
- Contact local support groups if you or someone you know needs help with asylum accommodation or related issues
As reported by VisaVerge.com, the move away from hotel accommodation is part of a wider effort to improve the asylum system, make better use of public funds, and support both asylum seekers and local communities.
Conclusion and Takeaways
The talks between Newcastle City Council and the Home Office mark an important step in changing how asylum seekers are housed in the United Kingdom 🇬🇧. By ending the use of hotels and focusing on community-based solutions, the government and local councils hope to create a fairer, more effective system. For asylum seekers, this could mean better living conditions and a stronger chance to build a new life. For local communities, it offers a way to support newcomers while managing resources wisely. Continued cooperation and open communication will be key to making these changes work for everyone involved.
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