Each asylum claim lodged in the United Kingdom costs taxpayers an average of £18,700, according to figures disclosed by the Home Office in background papers accompanying the new Immigration and Asylum Bill published on July 1. This sum encompasses expenses related to accommodation, living costs, claims processing, and legal appeals.

The calculations, covering asylum applications made between July 2024 and June 2025, indicate that the 93,525 claims submitted in the year to March 2026 could cost the public purse approximately £1.7 billion. Small-boat arrivals crossing the Channel—who are typically housed in migrant hotels—are included in these figures. For example, the nearly 2,742 small-boat arrivals recorded in June alone would lead to a projected expense of around £51 million at the average cost rate.

However, the Home Office cautions that the true financial impact varies widely depending on the claimant’s circumstances. Earlier this year, officials estimated the average annual cost to support an asylum-seeking family at £158,000. The impact assessment accompanying the bill also highlights that over three-quarters of those granted asylum under Article 8 of the European Convention on Human Rights (ECHR)—which protects the right to family and private life—were unemployed at the time of their application. The statistics indicate 76% of these claimants had no job, a figure that includes individuals both with and without the legal right to work in the country.

The documents also discuss the government’s proposed reforms to address perceived abuses of Article 8 claims, which Home Secretary Shabana Mahmood has flagged as a key focus. The government suggests that tightening these claims might inadvertently lead to a rise in asylum applications, as increased refusals may drive more migrants into the asylum system. The capacity for enforced removals is described as fixed, with only 5% of family and private life refusals in 2022 resulting in enforced returns. The Home Office notes that increasing refusals could therefore result in more migrants requiring Immigration Enforcement intervention, both voluntary and involuntary.

Opposition voices have criticized the new proposals as inadequate. Shadow Home Secretary Chris Philp characterized Labour’s measures as “minor tweaks” unlikely to effect meaningful change. He argued that past efforts to reform Article 8 claims had failed and called for a more radical approach: withdrawing the UK from both the ECHR and the modern slavery treaty to enable rapid deportation of illegal immigrants. Philp dismissed current reform attempts as performative gestures lacking substantive impact.

The bill’s reforms include provisions aimed at preventing illegal immigrants from avoiding deportation by citing family or private life rights in the UK. It also seeks to curb last-minute legal challenges opposing deportation orders. Additionally, asylum seekers could be required to repay £10,000 of the public funds spent on their support, with repayments potentially deducted monthly from their wages once they gain employment. Critics have raised concerns that loopholes remain in the proposed changes, potentially limiting their effectiveness in reducing the overall number and cost of asylum claims.