Liverpool Council Declares “War” on HMOs Amid Rising Asylum-Seeker Housing

The UK Home Office has halved the number of asylum seekers placed in hotels, falling from roughly 32,000 to 16,000 in the latest quarterly figures. At the same time, “dispersal” accommodation that includes houses in multiple occupation (HMOs) has risen from about 65,000 to 69,000. Liverpool now hosts 16,494 people living in HMOs—the second-highest total in England—and 1,385 asylum seekers in dispersal housing, also the second-highest figure nationwide. Landlords can double rental income by converting a three-bedroom terrace (?£1,000 per month) into a five-person HMO (?£2,000 per month), with the Home Office-contracted provider Serco offering five-year contracts that cover repairs.

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Council leader Liam Robinson framed the new planning measures as a “war” on unchecked HMO growth, proposing a cap that no ward may exceed 10 percent HMOs. The council’s 2021 Article 4 direction requires landlords to obtain planning permission before converting family homes, a step Wood says will ensure future growth is “properly managed.” Serco, the main asylum-housing contractor, said it has not rented new HMOs in Liverpool since the 2021 Article 4 direction and operates under Home Office placement decisions.

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• HMOs in Liverpool: 16,494 residents (government statistics).

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• Asylum seekers in dispersal housing: 1,385 (government statistics).

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• Hotel-based asylum accommodation: down from ?32,000 to ?16,000 (Home Office quarterly data).

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• Typical HMO rent increase: about £500 per month per property (Ian Taylor, Taylor Almond).

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• “There’s eight people in one [HMO] in my street,” — Tuebrook, liberal party councillor — Tuebrook, Liberal Party councillor

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• “It seems like there’s lots of asylum seekers in the area now. Because they’re hanging around not doing anything. It’s changed the area. I think it would be better to have them in hotels – at least they’re contained.” — Patricia Allen, another Tuebrook resident — Patricia Allen, Tuebrook resident

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• “I worry about the HMOs from the point of view that landlords are making more dough and exploiting people by cramming more people into houses. That’s disgusting. But it’s not migrants fault. It’s the Government’s fault for allowing it.” — Billy Lake, councillor — Billy Lake, councillor

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• “Neighbours are concerned about extra noise, extra rubbish, less parking spaces. Asylum seekers are only part of it – it’s a wider problem than that,” — Billy Lake, councillor — Billy Lake, councillor

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• “Article 4 is nothing unless you have the will to really enforce it,” — Joe Dunne, fellow liberal councillor — Joe Dunne, Liberal councillor

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These elements illustrate the council’s regulatory response, the economic incentives for landlords, and the mixed views of local residents and officials as Liverpool grapples with the expanding HMO sector.

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