Because (in 2000), the Labour government created a two-tier system for accommodating people who were destitute. Instead of people seeking asylum (who were destitute) being accommodated by the local council alongside everyone else, the Home Office became responsible for accommodating them via the National Asylum Support System.
NASS procured ‘dispersal’ accommodation in areas of the country where it was cheap. Places with few employment prospects, high crime, poor public transport and/or social deprivation (e.g. former industrial towns destroyed by Thatcher’s policies). Local people were already struggling and angry. Refugees were forced to go there.
Plus (in 2002), the government made it unlawful for people seeking asylum to work and for employers to employ them.
So, instead of being like everyone else, getting a job, paying tax and finding somewhere to live while awaiting their decision (which can take years), people seeking asylum used up any savings they’d arrived with and were left destitute in large numbers. And therefore dependent on the state.
I agree everyone in England who’s destitute should be entitled to accommodation. It’s inhumane and brutal for anyone to be street homeless in a very wealthy country like England. In most cases of street homelessness it’s because people (including many British people) have no rights to accommodation.
An increasing number are newly legally-recognised refugees, who’ve spent years in the asylum system awaiting a decision, unable to work or contribute (which they desperately want to do), then get their decision and are asked to leave asylum accommodation with short notice (28 days) and with no income or savings. It can take ages to get an NI number to get a job. They end up street homeless, which makes it even harder to get a job.
We need to allow people seeking asylum to work. End the two-tier system and give responsibility for accommodating everyone who’s homeless back to councils. And accommodate everyone by investing in decent, permanent council housing instead of selling it off. Otherwise, the Home Office will continue to compete with councils to procure temporary accommodation for both (i) people seeking asylum and (ii) British people (as well as foreign nationals with leave to remain in UK) who’re homeless.
Who benefits? The private ‘accommodation providers’ they procure it from, who are making millions. They sit back and watch the state outbid itself for the same limited pool of accommodation. Disaster capitalism. Crazy economics. Flawed political decisions to posture being ‘tough on immigration’. Taxpayers charged millions by private companies.