People granted asylum in the UK could be required to repay around £10,000 towards the cost of their accommodation and financial support once they begin earning, under proposals contained in the government's new Immigration and Asylum Bill. Get today's headlines by email The measures are intended to recover some of the costs of supporting asylum seekers from adults deemed able to contribute financially. Under the plans, asylum seekers who have the right to work would have to repay the flat-rate amount before becoming eligible to settle permanently in the UK. Failed asylum seekers who leave the country would also be expected to repay outstanding costs before being allowed to return. Refugees Could Repay Support CostsHome Secretary Shabana Mahmood said the proposals reflected the principle that while asylum support is a right, it also carries responsibilities. She said people should contribute once they are financially able to do so, describing it as a way of repaying the support provided by taxpayers. The government expects the repayment amount to be set at about £10,000, although the Home Office has not yet decided the earnings threshold at which repayments would begin. Ministers would also have powers to adjust both the repayment amount and income thresholds to ensure the scheme remains fair to taxpayers while avoiding hardship for migrants. Concerns Over PracticalityDr Madeleine Sumption, director of the University of Oxford's Migration Observatory, said the proposals marked a further tightening of the UK's immigration system while remaining within international refugee and human rights obligations. She also questioned how much money the scheme would recover, noting that many refugees earn relatively low incomes. According to Migration Observatory analysis, only an estimated 13% of people granted refugee status five years earlier earned at least £20,000 in 2023, with most either unemployed or earning less. The Home Office said 24% of refugees aged 16 to 64 were in employment during their first year after being granted asylum between 2015 and 2023. That figure rose to about 48% after two years. Among those working eight years after receiving refugee status, 37% were employed full time, with median earnings of £23,000 and only 40% earning above the minimum wage. Critics and Wider ReformsThe Refugee Council criticised the plans as "unfair" and "impractical", arguing they would amount to an extra financial burden on refugees trying to rebuild their lives. The charity said asylum seekers are prevented from working while their claims are processed and that support is provided only to those facing destitution. The Home Office said around £4 billion of public money was spent supporting asylum seekers last year. It estimated that accommodation costs average £23.25 per night in private rented housing and £144 per night in hotels, while weekly subsistence payments range from £9.95 to £49.18 per person. Shadow Home Secretary Chris Philp said Labour had adopted a proposal previously put forward by the Conservatives after opposing it during debate on an earlier Immigration Bill. The legislation would also establish a new immigration appeals authority designed to speed up the removal of failed asylum seekers. It includes changes to the application of human rights and modern slavery laws to asylum claims, with ministers saying the aim is to reduce what they describe as vexatious applications. The government says the wider package will create a firm but fair asylum system and reduce incentives for illegal migration, although some of the tougher measures are expected to face opposition from Labour MPs. The bill also includes plans for capped safe and legal refugee routes, allowing organisations such as universities, businesses and community groups to sponsor refugees. Separately, ministers recently announced plans to expand the use of former military barracks to house asylum seekers after closing additional hotels in England. Join the discussion? Already a member? Adapted by ASEAN Now. Source 1 July 2026
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