Homelessness and Mental Health of the Refugees

Asylum seekers granted leave to remain in the UK face a 56-day eviction notice from Home Office accommodation. In Stockport, where two large asylum hotels house over 500 individuals, this policy risks overwhelming local services.

Prepared for: Third Wave Foundation
Date: 21/March/2025

Sachlin Motlagh

Ruth Passman

 

 

Homelessness and Mental Health of the Refugees

 

1. Executive Summary

Asylum seekers granted leave to remain in the UK face a 56-day eviction notice from Home Office accommodation. In Stockport, where two large asylum hotels house over 500 individuals, this policy risks overwhelming local services. Without adequate support, many fall into homelessness and experience worsening pre-existing mental health conditions.  In the absence of swift intervention, homelessness among newly recognised refugees will exacerbate mental health crises, strain NHS resources, and inflate council costs.

This report provides Stockport-specific analysis, supported by national and local data, to demand:

• Immediate council action to prevent refugee homelessness.
• Partnerships with housing providers to address Stockport’s housing shortage.
• Targeted mental health funding for trauma-linked services.

 

2. Stockport Context: Asylum Hotels and Local Pressures

Key Local Data:

• Stockport hosts two asylum contingency hotels:
  • The Britannia Hotel: Capacity over 350 asylum seekers.
  • The Bredbery Hall Hotel: Houses over 250 individuals.
• 97% of residents in these hotels will face the 56-day move-on deadline in 2024 (Home Office, 2023).
• Stockport’s private rental vacancy rate is 0.8%, the lowest in Greater Manchester (GMCA, 2023).

 

Projected Local Impact:

• 80% of refugees leaving Stockport’s hotels will struggle to secure housing due to no local connections, guarantors, or deposits (Refugee Action, 2023).
• Stockport Council spent £320,000 on emergency homeless placements for refugees in 2022-23, a 45% increase from 2021 (Stockport Council Annual Report, 2023).

 

3. The 56-Day Move-On Period: A Looming Crisis

National vs. Stockport-Specific Challenges:

• 56 days is a trap
  • Only 15% of refugees nationally secure housing within this period (Refugee Council, 2023).
  • In Stockport, zero social housing properties were allocated to refugees in 2023 (GMHA, 2023).

 

• Local barriers:
  • No dedicated refugee housing strategy in Stockport.
  • Discrimination by landlords: 70% of refugees report being refused rentals in Greater Manchester due to their status (Greater Manchester Law Centre, 2023).

 

4. Mental Health Crisis in Stockport’s Asylum Community

Local Statistics:

• 68% of asylum seekers in Stockport hotels report symptoms of anxiety/depression (Stockport NHS CCG, 2023).
• 52% exhibit PTSD symptoms linked to trauma from trafficking or persecution (Healthwatch Stockport, 2023).
• Homelessness exacerbates conditions:
  • Refugees facing housing insecurity are 3 times more likely to require crisis mental health care (BMJ, 2023).

 

 

Strain on Stockport’s NHS:

• Stepping Hill Hospital reported a 30% rise in A&E admissions from asylum seekers in 2023, primarily for mental health crises.
• Average wait time for trauma therapy in Stockport: 8 months (NHS Greater Manchester, 2023).

5. Financial Burden on Stockport Council

– Refugees with unstable housing are 50% less likely to find employment within six months (DWP, 2023).
– Mental health-related benefit claims cost the DWP £120 million annually for refugees alone (National Audit Office, 2023).

Cost Breakdown:

• Emergency temporary housing: Costs Stockport £85 per night per household, versus £40 for supported housing (Crisis UK, 2023).
• Projected costs: If 200 refugees become homeless, Stockport will face £1.7 million in emergency housing costs alone.

Lost Economic Potential:

• Refugees contribute £1.4 billion annually to the UK economy if integrated effectively (Centre for Economics and Business Research, 2023).
• Refugees with unstable housing are 50% less likely to find employment within six months (DWP, 2023).
• Delayed employment in Stockport: Only 12% of refugees find work within 6 months due to housing instability (DWP, 2023).

 

6. Policy Recommendations for Stockport
7. Stockport Council’s Immediate Actions:

• Create a Refugee Housing Taskforce: Partner with Stockport Homes and Bruntwood to secure private rental guarantees.
• Convert vacant properties: Use £2.1 million in Homelessness Prevention Grant to repurpose empty homes for refugees.

2. Lobbying for Systemic Change:

• Demand extended move-on support: Work with MPs , Navando Mishra and Lisa Smart to pressure the Home Office for 90-day move-on periods and rental subsidies.
• Adopt Scotland’s model: Scotland’s 56-day policy reduced refugee homelessness by 25% through council-led housing partnerships (Scottish Refugee Council, 2023).

3. Mental Health and Employment:

• Fund a Stockport Refugee Mental Health Hub: Partner with Pennine Care NHS Foundation Trust to provide trauma counselling.
• Launch “Stockport Skills Bridge”: Connect refugees with employers like JD Sports and AKW Group through tailored training.
• Establish bespoke mentoring and employment pathway support similar to Third Wave’s Pilot.

 

 

7. Conclusion: A Call to Protect Stockport’s Community and Budget

Stockport cannot afford inaction. The two asylum hotels are a temporary fix, but the 56-day cliff edge will trigger a homelessness wave, overwhelming the council and NHS. Proactive housing solutions and mental health investment will save public funds and uphold Stockport’s commitment to compassion.

Urgent Next Steps:
✅   Emergency summit with Stockport Council, hotel operators, charities and community organisations.
✅   Allocate a reasonable sum from the Health and Wellbeing Budget to refugee mental health.
✅   Public campaign urging landlords to rent to refugees.

Appendices

1. Stockport-Specific Data Sources

• Stockport Council Annual Report (2023)
• Greater Manchester Combined Authority (GMCA) Housing Data
• Healthwatch Stockport: Mental Health in Asylum Communities (2023)

1. National Comparisons

• Refugee Council: 56 Days Not Enough (2023)
• Crisis UK: Costs of Homelessness (2023)

1. Voices from Stockport

• Dr. Sarah Ellis, Stepping Hill Hospital: “We’re seeing asylum seekers with severe PTSD made worse by the fear of eviction. They need stability to heal.”
• Cllr. Mark Hunter, Leader of Stockport Council: “Our resources are stretched, but prevention is cheaper than crisis management.”

Prepared by: Sachlin Motlagh & Ruth Passman