Increasing number of asylum seekers being granted work permits due to backlogs
An increasing number of migrants who may be in the country illegally are getting the right to work in the UK, Sky News can reveal.
Asylum seekers living in migrant hotels are being granted work permits before a decision is reached on their asylum claims, due to the length of time they have been waiting.
The Home Office backlog in processing claims means almost 100,000 people had been waiting more than a year for an initial decision on their asylum claim at the end of June this year – an almost 80% increase from this time last year, according to the latest data.
Under UK immigration rules, anyone who has been waiting more than 12 months through no fault of their own can receive a work permit and apply for any job on the country’s shortage occupation list.
Hussein, 34, who lives in a hotel in Staffordshire, is now working full-time for a charity after his work permit was granted in October this year.
He is still waiting for a decision on his asylum status, having arrived in the UK on a small boat at the beginning of July 2022.
Hussein, 34, who lives in a hotel in Staffordshire
He told Sky News he fled Iraq because he was concerned that previous work he’d done for Western armies was putting him and his family in danger.
On his phone are pictures of his young daughter back home, who he wants to help financially once he’s earning a regular salary.
He said the £9-a-week given to asylum seekers by the government simply isn’t enough to live on.
“We are getting very, very little money as financial support,” he said.
Although he has his meals paid for by the taxpayer and served in his hotel, he insists it is not enough.
“In the end as a human being, as a person…life is not only sleeping and eating – you might need clothes, you might need shoes, you might need maybe if you have some habits like smoking or anything, so all of this needs money.”
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He is certain that the other men living with him are given hope by watching him find full-time employment.
“Everybody who is seeing me in the hotel, they are also excited because of my job.”
“They are seeing what I’m doing and they want to be the same way,” he added.
Dozens of other migrants at his hotel arrived on the same route as Hussein – on small boats across the Channel.
They, too, are now reaching the threshold for finding paid work.
‘I didn’t choose to come and stay in [a] hotel’
Khalid, 30, from Syria, has been waiting for a decision on his asylum claim for 14 months.
“Many guys here they feel like in prison,” he said.
His work permit has just arrived. He said he will do any job, and doesn’t want to remain living at the expense of the taxpayer.
In broken English he told us: “This is the wrong from the government, not from me. I didn’t choose to come and stay in [a] hotel.
“I start work, I will not stay in the hotel, I can buy, rent or do something, from my business, from my job.”
But not all asylum seekers who are eligible want to get to work before they know what their future holds.
Khater, 30, from Sudan, said that without the Home Office declaring his asylum claim valid he will not attempt to find work.
He said he also wants to study more: “I want to improve my language first and speak fluently, and then I’m going to get a job.”
In November 2022, 51,189 asylum seekers had been waiting more than a year for an initial decision on their claim according to figures released to the Refugee Council
Another asylum seeker from Sudan – Elamin, 30 – admited the reason he came to the UK is to earn money.
“I want to be independent more – to help my family [in Sudan].”
According to figures seen by Sky News, around 91,000 people were waiting more than a year for a decision on their asylum claims by the end of June 2023.
That figure makes up more than half (52%) of the entire backlog of asylum claims at the Home Office.
‘I can understand why the public would be outraged’
In November 2022, 51,189 asylum seekers had been waiting more than a year for an initial decision on their claim according to figures released to the Refugee Council following a Freedom of Information request, meaning the backlog is growing at an alarming rate for some immigration solicitors.
Monira Hussain, an immigration lawyer in Oldham, said that enquiries from asylum seekers requesting help with their applications for work permits are now a daily occurrence.
Immigration lawyer, Monira Hussain
She told Sky News she does not know why decisions have slowed: “I can understand why the public would be outraged.”
“Ultimately what I would like to see the immigration system doing is processing their applications quicker, then we wouldn’t have this situation”, she added.
Some believe the rules need to be changed now the backlog of claims is so large.
Karl Williams, Deputy Research Director at the Centre for Policy Studies, said knowing they can get the right to work simply by waiting long enough makes Britain more attractive to migrants.
“There was perhaps a case for it when there were far fewer people in the asylum system. But at the moment it’s clearly acting as a massive pull factor for people coming here.”
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He believes for the British public, the fact that asylum seekers are working legitimately “will just enhance that fundamental sense that this is unfair”.
“These people are coming here illegally, they’re jumping the queue ahead of people who are using proper systems, and they are taking advantage of the taxpayer and the kindness and generosity of the public.”
The Home Office told Sky News: “The pressure on the asylum system has continued to grow, which is why we have taken immediate action to speed up application processing times and cut costs for taxpayers.
“Between the end of November 2022 and August 2023, the backlog of legacy cases has fallen by over 35,000.”
The government insists asylum seekers do not need to make perilous journeys in order to seek employment in the UK – and admits that Britain’s wider immigration policy could be undermined if migrants bypassed work visa rules by lodging unfounded asylum claims here.
Despite more and more asylum seekers legitimately making a living, it is still unlikely their uncertain status would satisfy the requirements for moving out of their hotel accommodation.
Whether the public likes it or not, a growing number of asylum seekers are now legally part of Britain’s workforce – but with no guarantee they will be allowed to continue their life here.
Additional reporting by Nick Stylianou.
Cineworld’s hedge fund backers are drawing up plans to return the cinema operator to the public markets amid continuing uncertainty about the future of dozens of its British sites.
Sky News has learnt that the company’s owners are at the early stages of considering a New York listing for the business, with the first half of 2026 considered a likely window for it to take place.
City insiders said that a flotation was likely to encompass Cineworld’s operations outside the UK, with the group’s board expected to consider a sale of the British operations at some point.
They cautioned, however, that no decisions had been reached and would not be for some time.
The fate of Cineworld’s business in the UK has been mired in uncertainty for months, with the company initially exploring a sale of it before turning to a restructuring plan which compromises many of its landlords and other creditors.
It has announced the permanent closure of six sites, but it emerged last month that nearly 20 more were at risk of being shut amid ongoing talks with property owners.
The restructuring plan is due to complete later this month, which some landlords have opposed over the fairness of its terms.
Documents circulated as part of the restructuring plan process highlighted the fact that the company did not have sufficient funding to meet a quarterly rent bill on June 24 of £15.9m.
“Absent this funding, the UK Group would have been insolvent on a cashflow basis,” they said.
Other cinema operators, such as Odeon, are now poised to step in to take over small numbers of Cineworld’s other sites.
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The company trades from more than 100 locations in Britain, including at the Picturehouse chain, and employs thousands of people.
Cineworld grew under the leadership of the Greidinger family into a global giant of the industry, acquiring chains including Regal in the US in 2018 and the British company of the same name four years earlier.
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Its multibillion-dollar debt mountain led it into crisis, though, and forced the company into Chapter 11 bankruptcy protection in 2022.
It delisted from the London Stock Exchange in August 2023, having seen its share price collapse.
In addition to the UK, Cineworld also operates in central and Eastern Europe, Israel and the US.
Cineworld has been contacted for comment.
A former Conservative cabinet minister has thrown his hat into the ring to become the inaugural chair of Britain’s new independent football regulator.
Sky News has learnt that Chris Heaton-Harris, who stood down as an MP at July’s general election, is among those who applied for the role ahead of a deadline on Friday.
Mr Heaton-Harris is himself a qualified football referee who has officiated at matches for decades.
A former Northern Ireland secretary and chief whip under Rishi Sunak and Boris Johnson respectively, he said in 2022 of his part-time career as a football official: “I took a [refereeing] course and that was it, I’ve been going ever since.
“Football has done wonders for me throughout my life so I would recommend it to everybody.”
Mr Heaton-Harris is among a large number of people who have applied for the role of chair at the Independent Football Regulator (IFR), according to officials.
A publicly available timetable for the search says that interviews for the £130,000-a-year post will end on 11 December, with an appointment expected in the new year.
It is the second time that the government has embarked on a search for a chair for the IFR after an earlier hunt was curtailed by the general election.
The role will be based at the watchdog’s new headquarters in Manchester and will require a three-day-a-week commitment.
The Football Governance Bill had its second reading in the House of Lords this week, as part of a process that will represent the most fundamental shake-up in the oversight of English football in the game’s history.
The Labour administration has dropped a previous stipulation that the regulator should have regard to British foreign and trade policy when determining the appropriateness of a new club owner.
The IFR will monitor clubs’ adherence to rules requiring them to listen to fans’ views on issues including ticket pricing, while it may also have oversight of the parachute payments made to clubs in the years after their relegation from the Premier League.
The top flight has issued a statement expressing reservations about the regulator’s remit, while it has been broadly welcomed by the English Football League.
The IFR’s creation will come with the Premier League embroiled in a civil war over Manchester City‘s legal battles emanating from allegations that it breached the competition’s financial rules.
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Next week, the 20 Premier League clubs will meet for a lengthy shareholder meeting, with a vote on amended Associated Party Transaction rules hanging in the balance.
The league needs 14 clubs to vote in favour for the rule changes to be passed.
Contrary to earlier expectations, however, a detailed discussion on a financial distribution agreement between the Premier League and EFL is unlikely to be on the agenda.
A Department for Culture, Media and Sport spokesperson said: “The process for recruiting the Independent Football Regulator chair is under way but no appointment decisions have been made.
“We do not comment on speculation.”
This weekend, Mr Heaton-Harris could not be reached for comment.
Pizza Hut’s biggest UK franchisee has begun approaching potential bidders as it scrambles to mitigate the looming impact of tax hikes announced in last month’s Budget.
Sky News has learnt that Heart With Smart (HWS), which operates roughly 140 Pizza Hut dine-in restaurants, has instructed advisers to find a buyer or raise tens of millions of pounds in external funding.
City sources said this weekend that the process, which is being handled by Interpath Advisory, had got under way in recent days and was expected to result in a transaction taking place in the next few months.
HWS, which was previously called Pizza Hut Restaurants, employs about 3,000 people, making it one of the most significant businesses in Britain’s casual dining industry.
It is owned by a combination of Pricoa and the company’s management, led by chief executive Jens Hofma.
They led a management buyout reportedly worth £100m in 2018, with the business having previously owned by Rutland Partners, a private equity firm.
One source suggested that as well as the talks with external third parties, it remained possible that a financing solution could be reached with its existing backers.
HWS licenses the Pizza Hut name from Yum! Brands, the American food giant which also owns KFC.
Insiders suggested that the increases to the national living wage and employers’ national insurance contributions (NICs) unveiled by Rachel Reeves would add approximately £4m to HWS’s annual costs – equivalent to more than half of last year’s earnings before interest, tax, depreciation and amortisation.
One added that the Pizza Hut restaurants’ operation needed additional funding to mitigate the impact of the Budget and put the business on a sustainable financial footing.
The consequences of a failure to find a buyer or new investment were unclear on Saturday, although the emergence of the process comes amid increasingly bleak warnings from across the hospitality industry.
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Last weekend, Sky News revealed that a letter co-ordinated by the trade body UK Hospitality and signed by scores of industry chiefs – including Mr Hofma – told the chancellor that left unaddressed, her Budget tax hikes would result in job losses and business closures within a year.
It also said that the scope for pubs and restaurants to pass on the tax rises in the form of higher prices was limited because of weaker consumer spending power.
That was followed by a similar letter drafted by the British Retail Consortium this week which also warned of rising unemployment across the industry, underlining the Budget backlash from large swathes of the UK economy.
Even before the Budget, hospitality operators were feeling significant pressure, with TGI Fridays collapsing into administration before being sold to a consortium of Breal Capital and Calveton.
Sky News recently revealed that Pizza Express had hired investment bankers to advise on a debt refinancing.
HWS operates all of Pizza Hut’s dine-in restaurants in Britain, but has no involvement with its large number of delivery outlets, which are run by individual franchisees.
Accounts filed at Companies House for HWS4 for the period from 5 December 2022 to 3 December 2023 show that it completed a restructuring of its debt under which its lenders agreed to suspend repayments of some of its borrowings until November next year.
The terms of the same facilities were also extended to September 2027, while it also signed a new 10-year Pizza Hut franchise agreement with Yum Brands which expires in 2032.
“Whilst market conditions have improved noticeably since 2022, consumers remain challenged by higher-than-average levels of inflation, high mortgage costs and slow growth in the economy,” the accounts said.
It added: “The costs of business remain challenging.”
Pizza Hut opened its first UK restaurant in the early 1970s and expanded rapidly over the following 15 years.
In 2020, the company announced that it was closing dozens of restaurants, with the loss of hundreds of jobs, through a company voluntary arrangement (CVA).
At that time, it operated more than 240 sites across the UK.
Mr Hofma and Interpath both declined to comment.
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