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The Home Office spent a record £5.38bn over the last year on asylum – more than a third higher than the previous year.

Figures released on Thursday showed spending on asylum rose by £1.43bn in the 2023/24 financial year to £5.38bn – 36% higher than in 2022/24 when £3.95bn was spent.

The latest figure, covering the Conservatives’ final year in government, is the highest amount since comparable data began in 2010/11.

It is more than four times the equivalent figure for 2020/21 (£1.34bn) and nearly 12 times the total a decade ago in 2013/14 when it was £450m.

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New data has also found the number of asylum claimants living in hotels has increased since Labour came into power in July.

The Home Office costs cover all its spending on asylum, including direct cash support and accommodation for asylum seekers, plus wider staffing and other related migration and border activity.

It does not include the cost of operations responding to Channel crossings and intercepting migrants as they make the journey to the UK.

However, the data suggests most migrants entering the UK on small boats do then end up in the asylum system.

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Hotels are being used to house asylum seekers as other accommodation is full

Since Labour came into power, 19,988 people have crossed the Channel on small boats to get to the UK illegally.

The latest asylum spending data is from when the Conservatives were in power and comes as further data revealed net migration to the UK fell by 20% in the year to June 2024 from a record 906,000 the year before.

The Office for National Statistics (ONS) found net migration – the difference been people immigrating and emigrating – stands at an estimated 728,000.

Sir Keir Starmer said his party had inherited an “utter mess” from the Tories as he accused them of reforming policies to “liberalise immigration” and having “lost control of the borders”.

He said the government was “taking a different approach” by cracking down on any abuse of visa routes, setting out a plan to reduce immigration and “smash the gangs” taking people across the Channel.

The prime minister said the cost of processing asylum claims needs to be brought down, as does the use of hotels.

He said the government has redeployed 1,000 Home Office staff to process asylum claims, and said his government has returned 9,600 asylum seekers since July.

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Number of asylum seekers in hotels soars

New Home Office data has also revealed 106,181 asylum claimants were in accommodation at the end of September. That is an increase of 9,539 from May this year.

Of those 106,181 asylum seekers, 35,651 were being housed temporarily in hotels due to lack of other accommodation at the end of September, up by 6,066 from 29,585 at the end of June.

It is the first quarterly rise for a year, although the figure is still some way below the recent peak of 56,042 at the end of September 2023.

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‘We don’t know anything about them’

Labour promised to close asylum hotels in their manifesto, but border security minister Dame Angela Eagle last week said more asylum hotels have opened since the party came into power.

She told parliament there are currently 220 hotels in use for asylum seekers, with seven having shut since July – but 14 more have opened.

Dame Angela said the reason was the situation left by the Conservatives, with 116,000 asylum seekers “stuck in a backlog” of more than two years when Labour came into power in July.

She said the system “ground to a standstill” because the Tories were busy pursuing the Rwanda policy “which was doomed to failure”.

The minister said Labour did not commit “to close all asylum hotels within four months”.

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US eyes quantum computing investments amid rising national security stakes

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US eyes quantum computing investments amid rising national security stakes

US eyes quantum computing investments amid rising national security stakes

Washington is considering direct investments in US quantum computing companies as it seeks to keep pace with China’s tech capabilities.

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Despite gov’t shutdown, crypto market structure bill ‘90% there’ — Coinbase CEO

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Despite gov’t shutdown, crypto market structure bill ‘90% there’ — Coinbase CEO

Despite gov’t shutdown, crypto market structure bill ‘90% there’ — Coinbase CEO

The remaining “10%” of issues center mainly on DeFi, which Brian Armstrong says lawmakers are addressing carefully to preserve innovation.

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PM has ‘confidence’ in Jess Phillips after grooming survivors demanded her resignation

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PM has 'confidence' in Jess Phillips after grooming survivors demanded her resignation

Sir Keir Starmer has backed his under-fire safeguarding minister to continue leading the government’s efforts to set up a national inquiry into grooming gangs after four survivors demanded her resignation.

The prime minister said on Thursday that Jess Phillips has “devoted vast parts of her life and career” to tackling violence against women and girls, and has “confidence in her”, despite the turmoil that has beset the process.

All four survivors who quit the government’s grooming gangs inquiry panel said they will consider returning to the process if Ms Phillips resigns.

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However, five other survivors on the panel have written to Sir Keir to say they will only stay if Ms Phillips remains.

They said she had remained impartial, had listened to feedback and her previous experience to reduce violence against women and girls and her “clear passion and commitment is important to us”.

In contrast to the four who have quit, who accused Ms Phillips of trying to expand the inquiry’s scope beyond grooming gangs, the five said it needs to be widened to focus on child sexual exploitation as a whole to ensure survivors who do not fit “the generalised stereotype” are not excluded.

More on Grooming Gangs

In response to the demand for Ms Phillips to quit, Sir Keir said: “The safeguarding minister has huge experience in issues relating to violence against women and girls. She’s devoted vast parts of her life and career to that, and so I do have confidence in her and Louise Casey in leading this project.”

Speaking to ITV Meridian, the prime minister also sought to reassure the victims of grooming, saying: “It’s really important that the national inquiry gets to the truth. All survivors deserve answers to their questions.”

“It is very important that I say to all survivors that I give my personal assurance that this inquiry will go wherever it needs to go, the scope will not be changed.”

It is understood Downing Street has reached out to the four survivors who quit the government’s process this week.

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Starmer defended Phillips at PMQs on Wednesday

Samantha, one of the survivors who wrote the letter saying they would only stay if Ms Phillips remains, told Sky News: “We shouldn’t be falling apart right now, we should be working together.

“Jess has only ever been fair and honest with us, she’s told us as much as she possibly can within her capacity.

“She’s provided a lot of support over the phone and in-person to a lot of us survivors behind the scenes, which people don’t see about Jess.

“So I do still want her to be part of this inquiry up until the end.”

A government source told Sky News the government will be talking to all survivors on the panel about their concerns and opinions on the type of person they want to chair the inquiry, after the leading candidate dropped out following concerns from survivors over his background as a police officer.

The government will move as fast as possible, they said, but it will likely take months to appoint the right chair.

Why four survivors quit the inquiry

The four women who resigned this week expressed concerns about how the process of selecting a chair and setting the terms of reference of the national inquiry into grooming gangs is being run.

They wrote on Wednesday to Home Secretary Shabana Mahmood, calling for Ms Phillips to step down and all survivors to be consulted on appointing a senior judge as chair with no major conflicts of interest.

Ms Phillips told parliament on Tuesday that suggestions that the scope of the inquiry was to be expanded from just grooming gangs were “categorically untrue”.

But leaked consultation documents and texts between the safeguarding minister and survivor Fiona Goddard show the survivors’ concerns that the scope would be expanded were valid.

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Shadow Housing Secretary Sir James Cleverly told Sky News that he can’t see how Jess Phillips can stay in post

The survivors’ letter says: “Being publicly contradicted and dismissed by a government minister when you are a survivor telling the truth takes you right back to that feeling of not being believed all over again.

“It is a betrayal that has destroyed what little trust remained.”

They have demanded that the scope of the inquiry remain “laser-focused” on grooming gangs and called for victims to be free to speak to support networks without fear of reprisal.

Fiona Goddard and Kemi Badenoch speaking during a press conference earlier this year
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Fiona Goddard and Kemi Badenoch speaking during a press conference earlier this year
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The letter to Ms Mahmood says: “Her [Ms Phillips’] conduct over the last week has shown she is unfit to oversee a process that requires survivors to trust the government. Her departure would signal you are serious about accountability and changing direction.”

The survivors describe their demands as “the absolute bare minimum for survivors to trust that this inquiry will be different from every other process that has let us down”.

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Minister for Children and Families, Josh MacAlister told Sky News Jess Phillips will not be resigning

Frontrunner quits over ‘toxicity’

The letter was sent hours after one of the frontrunners to become chair of the inquiry withdrew, blaming “vested interests” and “political opportunism and point-scoring”.

Ex-police chief and child protection specialist Jim Gamble told the home secretary in a letter there was a “highly charged and toxic environment” around the appointment process and victims “deserve better”.

The other, Annie Hudson, a former social worker, said earlier this week she no longer wanted to be considered after intense media coverage.

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‘Everyone should park their interests’

The prime minister launched the inquiry into grooming gangs after an audit by Baroness Louise Casey showed the scale of the problem.

It is understood that the government is exploring a range of other candidates and will provide an update in due course.

A Home Office spokesperson said: “The grooming gang scandal was one of the darkest moments in this country’s history.

“That is why this government is committed to a full, statutory, national inquiry to uncover the truth. It is the very least that the victims of these hideous crimes deserve.

“We are disappointed that candidates to chair that inquiry have withdrawn. This is an extremely sensitive topic, and we have to take the time to appoint the best person suitable for the role.

“The home secretary has been clear – there will be no hiding place for those who abused the most vulnerable in our society.”

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