Financial Strain Mounts Amid Asylum System Debate
Local authorities across Britain are facing escalating financial pressures as spending on social care for adult asylum seekers reaches £134 million annually – nearly triple the amount recorded five years ago. Recent analysis reveals this sharp increase comes as councils prepare budgets for 2026-27 amid ongoing discussions about asylum system reforms.
Rising Costs Across All Categories
Expenditure on adult asylum support has increased by 165% in real terms since 2019-20, with current costs significantly exceeding pre-pandemic levels. While below 2022-23’s peak of £191 million, the sustained high spending continues to strain municipal budgets.
Spending on asylum-seeking children now exceeds £600 million annually, including £287.2 million for those with families and £322.6 million for unaccompanied minors. Since introducing separate tracking for unaccompanied children in 2022-23, these costs have risen by 32%.
Regional Disparities Emerge
Kent emerged as the highest-spending authority with £41.6 million allocated for asylum seeker social care in 2024-25, representing a fourfold increase from £9.9 million in 2019-20. Hampshire follows with £23.9 million (up from zero) while Manchester allocated £23.2 million.
Analysis indicates spending concentration among authorities, with the top ten councils accounting for 27% of total expenditure. Per-household costs show significant regional variation, ranging from £400 in the City of London to £133 in Islington against a national average of £34.
Support Systems Under Scrutiny
Council-funded asylum support differs from Home Office provisions, covering interpretation services, healthcare access assistance, housing support, education coordination, and legal guidance. For children entering care systems, local authorities bear full accommodation and placement costs.
Analysts Warn of Fiscal Time Bomb
Anne Strickland, a policy researcher, stated: “The escalating costs of asylum-related social care represent another fiscal challenge for local authorities, with residents ultimately bearing the consequences.”
“Successive administrations have failed to address this systemic issue,” Strickland continued. “With councils having limited capacity to manage this crisis independently, urgent Whitehall intervention is required.”
Total asylum-related social care spending has surged 148% in real terms since 2019-20, growing from £299 million to £744 million. The dramatic increase follows policy changes in 2021-22 that expanded support categories and reporting requirements.
