Home Secretary, Shabana Mahmood, introduces rules to bar councils using luxury homes for migrants.

TELEGRAPH 3 JULY 2026

A plan to house more than 80 asylum seekers in new-build homes has been halted by the Home Office.

Ministers have ordered a review of the plans to use some 21 new homes, which have been estimated to be worth up to Ł250,000, in the Shropshire village of Stoke Heath for 83 asylum seekers after a backlash from residents and politicians.

The site had been earmarked for asylum seekers before Shabana Mahmood, the Home Secretary, introduced rules barring the use of new-build or “luxurious” homes for migrants, as well as barring them from being placed near schools or nurseries.

However, Mark Pritchard, the MP for The Wrekin, said he had been told by senior Home Office officials that a review by ministers was under way.

“What I was able to announce as a result of my pressure and the pressure of the local parish council, and credit to them and local residents, is that the current arrangements that will allow more asylum seekers in over the next few days has been put on hold,” he told GB News.

“The asylum seekers that were already in place have now been relocated.

“So, currently, there are no asylum seekers in Stoke Heath, and the Government have told me, if they’re to be believed, a senior Home Office official – and there’s no reason why I should not believe them – is that this scheme is being reviewed by Home Office ministers.”

The move had been part of an initiative by the Home Office to reduce the number of asylum hotels and switch migrants to larger former military sites, medium-sized accommodation sites, such as former student accommodation, and houses of multiple occupation (HMOs).

As of March, some 20,885 asylum seekers were in hotel rooms, down 30 per cent in three months, and 72,768 were in other accommodation such as HMOs and military camps as they waited for their claims to be processed.

Mr Pritchard described the Stoke Heath scheme as completely inappropriate. “Stoke Heath is an isolated rural location with very few public services,” he said. “This is the wrong location and at the wrong scale. I will fight these ill-conceived plans all the way.”

Shropshire council also wrote to Ms Mahmood to “raise our strong concerns about this location” and is “awaiting a response before considering any further action”.

The new rules were introduced this year. According to Home Office sources, they clarified the criteria for deciding where asylum seekers should be housed by the Home Office and its contractors.

These included “factors such as new-build properties and/or properties that could be perceived as luxurious or sites near sensitive locations such as schools or nurseries,” a source said.

Home Office contractors responsible for finding and providing accommodation for asylum seekers have been advised about the rules.

The decision to house migrants in Stoke Heath was taken before the rules came into effect. 

A Home Office spokesman said: “New homes should never house asylum seekers. The Home Secretary has directly intervened to stop migrants being moved into the Stoke Heath development and no asylum seekers remain on site.

“Earlier this year, the Home Secretary introduced robust processes to ensure new-build sites can never be considered again.”

The United Kingdom is one of the most corrupt countries, according to Transparency International. We are concerned at the number of ground work companies and housebuilders, that have become insolvent in 2026.

One way of reducing the cost of houses, is for a subcontractor to carry out the groundwork, and then declare bankruptcy. That leaves the developer a way to reduce their costs. And, worryingly, there is nobody to sue if the foul drainage, water, power, or other SuDs installation is below standard.

LINKS

https://www.msn.com/en-gb/news/uknews/mahmood-pauses-plan-to-move-dozens-of-migrants-into-new-build-homes/ar-AA277TYg

https://www.msn.com/en-gb/news/uknews/mahmood-pauses-plan-to-move-dozens-of-migrants-into-new-build-homes/ar-AA277TYg

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