Source · Select Committees · Public Accounts Committee
Recommendation 12
12
Accepted
Home Office has established four large asylum accommodation sites with substantial costs and capacity.
Conclusion
The Home Office has established four large accommodation sites – the Bibby Stockholm vessel in Dorset, former RAF bases in Wethersfield, Essex and Scampton, Lincolnshire, and former student accommodation in Huddersfield. The Home Office estimated that, by the end of March 2024, it had spent £230 million on the sites, and it expected the Large Sites Programme to cost £1.2 billion over the life of the sites. Two of the sites (Wethersfield and the Bibby Stockholm vessel) were in use at the time of the session and housing approximately 900 asylum seekers. In total, the Home Office expected these four large sites to accommodate more than 4,500 asylum seekers when fully up and running. It planned there would be 3,700 across the two former RAF bases, approximately 500 aboard the Bibby Stockholm vessel and around 600 in the former student accommodation in Huddersfield. At our evidence session the Home Office told us that it expected to accommodate a maximum of 400 people on board the Bibby Stockholm vessel by June 2024, and that each of the former RAF bases would now accommodate 800 people.19
Government Response Summary
The government has restructured the large sites programme to deliver smaller sites, improved cost profiling and technical expertise, and now completes value for money assessments for each site earlier to reduce cost and commercial risk.
Government Response
Accepted
HM Government
Accepted
2.1 The government agrees with the Committee’s recommendation. Recommendation implemented 2.2 A raft of measures has been implemented to address weaknesses. The programme was recently restructured to deliver smaller sites, requiring lighter touch refurbishment and supporting the reframed strategic aim to deliver a flexible accommodation-estate that can respond with agility to changes in demand. 2.3 Lessons have been learned regarding cost profiling and projections: the programme has improved technical construction expertise to ensure that a more accurate estimation of set up and delivery costs is better considered for future sites. Accounting officer advice including value for money assessments and business cases are completed for each site. Alongside significant work to lower operational costs, this will further assure the value the programme offers to the taxpayer. 2.4 The Asylum Support, Resettlement and non-detained Accommodation Programme ASRA) has balanced the requirement to deliver accommodation at pace to meet changing demand and brought forward due diligence to enable decisions around viability and value for money to be taken at an earlier stage, reducing potential cost and commercial risk. It has also improved engagement with local authorities and partners, introducing this at an earlier stage. 2.5 As a result of these measures, an independent review undertaken by the Infrastructure and Projects Authority found that successful delivery of the programme to time, cost and quality appears feasible.