The Home Office has announced a radical new pilot scheme that will offer failed asylum seekers up to £10,000 per person to leave the UK voluntarily within seven days, with families potentially receiving as much as £40,000 in total.
The initiative, revealed by Home Secretary Shabana Mahmood on Thursday (5 March), targets families whose asylum applications have been rejected and who have exhausted appeals.
It aims to encourage swift, cooperative departures and reduce the substantial costs associated with long-term accommodation and support for those with no legal right to remain.
Under the trial, around 150 families, including children, are expected to participate. Eligible participants must cooperate fully with the process and depart quickly. Those who refuse the offer or obstruct removal may face loss of support and enforced departure under broader asylum reforms.
In a speech at the Institute for Public Policy Research (IPPR) think tank, Mahmood defended the policy as a necessary step to restore border control and deliver taxpayer value.
“Taxpayers should not be footing millions of pounds to accommodate families who have no right to be here, especially when others comply with the rules and leave the UK when required,” she said.
“That is why we are acting to remove them swiftly, cut hotel use and slash costs. I will do whatever it takes to remove the incentives that drive illegal migration and restore order and control to our borders, while ensuring the system is firm, fair and applied consistently to everyone.”
The initiative draws inspiration from Denmark’s approach, where higher incentives (up to around £30,000 in some cases) have reportedly helped halve deportation backlogs by encouraging quicker departures.
The current voluntary returns scheme, managed through the Home Office’s Voluntary Returns Service, offers up to £3,000 in reintegration support (typically for returns to developing countries), covering flights, documentation, and post-arrival assistance. The new pilot significantly increases this amount to test behavioural impacts and cost-effectiveness.
Home Office officials argue that the enhanced payments are value for money. The department currently spends up to £158,000 annually supporting some families in hotels and related accommodation, with total asylum support costs reaching £4 billion last year. Wider implementation could save up to £20 million annually by reducing prolonged stays.
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