Hundreds of asylum seekers face possible eviction from hotels across the UK due to a dispute over unpaid bills. Hotel operators say they have not received payments for months from Clearsprings Ready Homes, a contractor that previously managed Home Office accommodation services.

The Home Office recently ended its contract with the company, but outstanding debts have reportedly left hoteliers under financial pressure.

The potential evictions come as the government continues to rely heavily on hotels to house asylum seekers, with around 38,000 people still in temporary accommodation at an estimated cost of £5.5 million per day.

Hotel group issues warning

The Cave Hotel Group, which is hosting 320 asylum seekers across four hotels in Kent, says it has gone unpaid since December.

The group’s director, Gursharan Garcha, stated that unless the money is received soon, the company will have “no option” but to remove the residents. He noted that food and staff are still being provided, but the business cannot continue to absorb the costs indefinitely.

Clearsprings, which has held long-standing Home Office contracts to provide housing for asylum seekers, is said to owe millions of pounds to multiple hotel operators.

It has blamed the delayed payments on complications linked to the termination of its contract.

Home office under pressure

The Home Office ended its agreement with Clearsprings earlier this year, opting instead to award new contracts to other firms under its Asylum Accommodation and Support Services framework.

However, there has been growing concern over how the transition has been handled, especially regarding payment arrangements and continuity of care for those housed under the previous contracts.

While the Home Office confirmed that Clearsprings remains responsible for settling outstanding debts incurred during its contract, questions remain over whether affected hotels will be paid in full.

Hotel owners say they have received little support or communication from officials.

Asylum seekers caught in the middle

For the asylum seekers involved, the situation is creating further uncertainty. Many are already waiting months or even years for decisions on their claims.

Charities working with migrants have expressed concern that evictions could leave vulnerable individuals without shelter or access to essential services.

The Home Office has said it is working to reduce the number of asylum seekers in hotels by moving them to more sustainable accommodation, but progress has been slow.

In the meantime, hotel owners warn that unless a solution is found, more evictions could follow.