1 month ago | 4 comments
A landlord has reportedly been offered £32,520 more a year to house asylum seekers in a flat already used to accommodate families through a council.
The Sun reports that the proposed three-year deal included bills, council tax and maintenance costs.
Clearsprings Ready Homes, a Home Office accommodation contractor, offered £4,500 a month for the three-bedroom property in south London, compared with the £1,790 paid by Southwark Council.
The landlord declined, saying that switching contracts would put families at serious risk of homelessness.
The anonymous landlord told The Sun: “I already rent to Southwark Council, and they [Clearsprings] are able to offer significantly more than the local authority, which to me is bizarre.
“The council has a ceiling on what they are allowed to pay landlords like myself.”
He added: “For a three-bed flat I get £1,790 from the local authority to house families, while I would rent it to Clearsprings for £4,500 per month.
“I didn’t go with them because it would have meant terminating my contract with Southwark Council and putting families at serious risk of homelessness.”
The newspaper reports that Clearsprings is understood to be approaching landlords who provide homes for councils, students and vulnerable people, including those fleeing domestic abuse.
It obtained a document which reportedly identifies Bedford, Southampton, the Forest of Dean, Caerphilly and Wrexham among the areas where additional properties are being sought.
Prospective landlords are also being told that homes may need extensive refurbishment before being used.
The landlord questioned why accommodation intended for asylum seekers appeared to face more demanding refurbishment requirements than properties housing homeless British families.
The Home Office said contractual limits protected taxpayers from accommodation providers paying above the agreed rate.
A spokesman said: “We pay a capped and contractually agreed rate to accommodation providers.
“Any amount above that is covered by the contractor and not taxpayers.
“We are working to fairly house asylum seekers across the country and closing every hotel, saving taxpayers over £1billion on asylum support since the election.”
11 comments on this article
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Member Since February 2019 - Comments: 20
10:25 AM, 23rd October 2026, About 3 weeks ago
I was interested in renting my old 5 bedroom family home near Wrexham to Clearspring.
It was a nightmare.
After completing the exhaustive initial upgrades list, 3 further inspections took place. Each one added more upgrades/ improvements to the initial list (even though the local authority had also inspected the property and passed it fit for human habitation after the initial list of works was completed.
In all the process took 6 months cost me £10,000 in upgrades and Clearspring where still not happy…..in the end I pulled out of the scheme. I estimate that the experience cost me in approximately £25,000 in un necessary works and loss of rent.
Member Since April 2018 - Comments: 714
10:28 AM, 23rd October 2026, About 3 weeks ago
Who are Clearsprings, sounds wonderful but who is funding them and what happens when they go bust or at the end of 3 years and leave you stuck with Asylum seekers.
Member Since April 2018 - Comments: 14
11:11 AM, 23rd October 2026, About 3 weeks ago
Reply to the comment left by David at 23/10/2026 – 10:28
Clearsprings are privately owned by Graham King an Essex businessman.
According to the Daily Mail he has become almost a billionaire by supplying properties on government contracts
Member Since September 2018 - Comments: 3792 - Articles: 5
11:30 AM, 23rd October 2026, About 3 weeks ago
Went to a Serco presentation once around 3 years ago to find out more. I was aware that they said ‘upgrades’ may be required but curious to find out what exactly. Yes for some unfathomable reason they demanded a higher criteria to be met than a standard HMO (which itself formalises a compliant standard which is nationally recognised and council approved). What struck me though was the requirement after 5 years that a new bathroom and kitchen were necessary and after 3 a full redec.
So – is it the gvt setting these higher standards and if so why as this means boaties ARE being treated better than those who live in ‘standard’ HMO’s, or is it really Serco and the like that at demanding this from LL’s in a bid to show they are going above and beyond to provide the best accommodation and as a result charge more to the gvt for the accommodation knowing full well the gvt have no other option than to pay it?
Either way, the system stinks and as I would essentially be bottom of this chain, there is no way I am prepared to be the one dumped on.
The contract with Serco was also very clear if they were ever pulled off the contract/contract terminated then another provider would apparently step in but I would not necessarily be told.
For me the fear would be a house left of legal unknowns, no right to rent and no way of removing them.
Did I walk away? No – I RAN!
Member Since April 2018 - Comments: 714
11:33 AM, 23rd October 2026, About 3 weeks ago
Reply to the comment left by John at 11:11
My next move then.More money running a business like this than being a dumped on landlord.
Member Since September 2018 - Comments: 3792 - Articles: 5
11:43 AM, 23rd October 2026, About 3 weeks ago
Reply to the comment left by David at 23/10/2026 – 10:28
They were and remain the gvt’s chosen provider along with Serco and Mears. Neatly split into geographical areas. These three have the monopoly on the boatie accommodation provision and are now even happier since Liebour said they were closing hotels….
While they still have no leave to remain the boaties still need housing, so if not in hotels where? I suspect they are bring pushed into any HMO’s that can be found, ESPECIALLY ones claiming to be supported accommodation providers too – once ILR status comes in the landlord then claims higher HB for each one because they all have experienced trauma as part of the reason why they fled (via France!).
This is why there is now a huge backlash by communities and councils over HMO’s in general, because many are now being filled with boaties in particular as it is easier to make claims for SEA status on top. An SEA room alone can be £2k a month and bigger houses can now bring in EVEN MORE than when they were leased directly to Serco for example.
Serco are laughing, the LL’s that rent via SEA are laughing and the gvt are completely culpable.
Member Since January 2024 - Comments: 465
11:47 AM, 23rd October 2026, About 3 weeks ago
“Any amount above that is covered by the contractor and not taxpayers.”
And he kept a straight face saying that? I imagine that Clearsprings are very much a for profit company and any money they pay out will be financed by the taxpayer.
Member Since April 2018 - Comments: 714
11:56 AM, 23rd October 2026, About 3 weeks ago
Reply to the comment left by Reluctant Landlord at 23/10/2026 – 11:43
Very informative, thank you .A nice little earner for those in the know, but I would be concerned this could go pear shaped and being stuck with asylum seekers , if for example Reform gained control.
Member Since July 2013 - Comments: 766
1:01 PM, 23rd October 2026, About 3 weeks ago
I commend the landlord mentioned in this article for being a decent person and not going after the big bucks. In this age of constant negativity against LLs, it’s a good story.
Member Since October 2026 - Comments: 2
6:29 PM, 23rd October 2026, About 3 weeks ago
Reply to the comment left by David at 23/10/2026 – 10:28
The government! Serco do other parts of the country. Now they can’t use hotels they’re hiding them somewhere else at a very high cost bearing in mind Clearspings and Serco will be making lots of management fees. I’m glad they spend our taxes so well…. Ps Clearspings will negotiate with you, very high rent in some cases.