UK asylum system hit by inefficiencies and wasted funds, watchdog finds

"The UK's asylum system is affected by inefficiencies, "wasted public funds" and a succession of "short-term, reactive" government policies that have moved problems elsewhere, the National Audit Office (NAO) has said. As part of its analysis, the spending watchdog looked at a sample of 5,000 asylum claims lodged almost three years ago, in January 2023. Since then, 35% (1,619) of those asylum seekers had been given some sort of protection such as refugee status, and 9% (452) had been removed from the country."

"But 56% (2,812) still did not have a final outcome in their case. The Home Office welcomed the analysis, which it said supported "the case for fundamental reform of the asylum system". Most of the cases in the remaining group (2,021 out of the 2,812) remained in a sort of "limbo", with no appeal lodged. The NAO's chief analyst, Ruth Kelly, told reporters: "They've had their claim refused, but they're staying in the system with their case unresolved, and that's because of the difficulties in removal.""

"A shortage of other types of accommodation means that large numbers of asylum seekers whose cases are not closed are being housed in hotels. The cost of accommodation in 2024-25 was 2.7bn. Enver Solomon, the chief executive of Refugee Council, said of the January 2023 analysis: "The NAO's finding that more than half of people who applied for asylum almost three years ago still don't have an outcome is shocking." He said the report mirrors what the Refugee Council's front-line services see every day, "an asylum system that is simply not functioning, where people wait months or even years for a decision and costs keep rising"."

A sample of 5,000 asylum claims lodged in January 2023 shows 35% received protection, 9% were removed, and 56% still lacked a final outcome nearly three years later. Many unresolved cases (2,021) sit in limbo after refusal with no appeal, often because of difficulties in removal. A shortage of alternative accommodation has led to large numbers being housed in hotels, costing £2.7bn in 2024-25. Successive government interventions have been short-term and reactive, moving problems elsewhere. Calls have been made for fundamental reform to tackle inefficiencies, rising costs and the systemic backlog.

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