Story perspectives

Home Office Unfunded £500 m Council Housing Pilot Sparks Review

7/5/2026

Summary

Story summary

The Home Office announced a £500 million pilot that would have councils lease homes to it and convert them into social-housing stock, and pledged it would never house illegal migrants.
The pilot remains unfunded, leaving 200 councils without decisions.
The Home Office spent £4 billion on asylum-seeker support to March 2025, including £2.1 billion for hotel accommodation.
The Independent Chief Inspector of Borders and Immigration began a review of the Home Office’s local-authority engagement.

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Story summary

The Home Office announced a £500 million pilot that would have councils lease homes to it and convert them into social-housing stock, and pledged it would never house illegal migrants.
The pilot remains unfunded, leaving 200 councils without decisions.
The Home Office spent £4 billion on asylum-seeker support to March 2025, including £2.1 billion for hotel accommodation.
The Independent Chief Inspector of Borders and Immigration began a review of the Home Office’s local-authority engagement.