A single London council has seen its housing bill for new migrants soar to £18 million after hundreds of Chagos Islanders arrived on top of the asylum seekers it was already paying for.
The two groups combined have put a huge strain on Hillingdon Council which is the first port of call for those arriving at Heathrow to set up home in the UK but with no home to go to.
Ian Edwards, Conservative leader of Hillingdon Council, claimed that the huge cost is impacting its ability to provide services and that they have been forced to make a series of crippling cuts that have affected life for residents.
Hillingdon, which is close to Heathrow, has at any time an average of 2,700 asylum seekers housed in hotels surrounding the airport, one of the highest rates in the country.
Once they are given leave to remain by the Government, they are effectively ‘evicted’ from the hotels, leaving the council legally responsible for looking after them as homeless.
At the same time, around 400 Chagos Islanders have landed in Hillingdon over the past two years creating an even greater unsustainable demand on local services as the council also has a statutory duty to house and provide for them.
Sir Keir Starmer handed control of the Chagos Islands to Mauritius in May after 161 years of British rule, in a deal that was heavily criticised for compromising the security of a military base that will remain on the islands.
Mr Edwards revealed that the council is demanding that the Labour government refund the near £18 million it has already spent over the last five years and provide extra funding for the future because supporting asylum seekers and Chagos Islanders is a ‘national responsibility,’ and the issue ‘shows no signs of going away.’
He told : ‘£18 million is a lot of money and it’s not right that the residents of Hillingdon are expected to pick up this tab.
‘The Government should do the right thing. Our reserves are being drained and it’s threatening our ability to provide services to residents. This is a national problem, and the burden needs to be carried more equitably.’
He added: ‘We have one of the highest rates of asylum seekers in the country and now we have the issue of the Chagos Islanders. I accept that the Government has a difficult job, but they are not recognising that it’s causing harm to our borough and are not doing anything to prevent that harm.’
Breaking down the figures, he said that £16 million has been spent on asylum seekers over the past five years while between July 2024 and March 2025 supporting British Chagossians cost them over £508,000. Another £1.2 million has been set aside for the remainder of this financial year as more arrivals continue to pile in.
Faced with a financial crisis, the council has implemented £34 million worth of cuts this year. This has included giving up running three golf courses and a local theatre, which have been handed over to the private sector; cutting non-essential services and introducing a controversial £70 per year garden waste collection charge which has angered many locals.
A popular council run garden centre has also been closed while some libraries have been relocated to make savings. The council tax has also been increased by almost 3%.
Mr Edwards said: ‘We are not cutting essential services, but we are having to make savings and see where we can increase income. This is a direct result of two things: the Government increasing National Insurance contributions for employers and the asylum crisis.’
He revealed that last year alone, the council spent just over £5 million on asylum seekers which is more than what it spent on libraries and cultural services. It is expected to spend the same amount next year.
The bulk of the £18 million the council has already spent over the past five years has been for accommodation with asylum seekers and Chagos Islanders put up in private housing.
Council figures show that this year, an average of 28 asylum seekers per week requested housing from the council after being ‘evicted’ from their hotels.
As British nationals, Chagos Islanders are placed in accommodation almost immediately after arriving in the borough, but they have also benefited from other assistance such as receiving prepaid cards, essentials as well as help to open bank accounts and apply for Universal Credit.
Even though many asylum seekers and Chagos Islanders are dispersed to other parts of the country the council remains responsible for ensuring that their rent is paid in full if the benefits they receive are not enough to pay the whole amount.
At the same time, the council has also had to pay hundreds of thousands of pounds to private landlords as an incentive to let their properties.
Mr Edwards added: ‘We place these people in private accommodation usually outside of London, but we still have to pay for part of this if their housing benefit isn’t enough to cover the rent. We simply don’t have the housing stock to keep them within the borough and rents are usually cheaper outside the capital.’
The residents of the Chagos Islands, a British overseas territory, were evicted between 1967 and 1973 to create a joint UK-US military base. In 2022, a law was passed allowing them to become British citizens and settle in the UK.
Chagos Islanders, who are legally entitled to enter the country usually do so via Heathrow and present themselves for assistance at the most convenient council, which happens to be Hillingdon.
Located in the far west of the capital, Hillingdon is considered one of the city’s archetypal suburban areas and is largely made up of semi-detached homes located along tree lined roads.
Former Prime Minister Boris Johnson was previously MP for Uxbridge and South Ruislip, which is in the borough while famous celebrities like James Corden and Ronnie Wood were born there.
But residents in the borough expressed anger at the huge amount of money that the council has had to shell out for asylum seekers and Chagos Islanders, claiming that their lives are being blighted.
Sue Sibley, 69 said: ‘It’s not just that we are being made to pay for these people because we have not created this problem. Central government should be picking up the bill, the council leader is right.
‘Council services are not as good as what they used to be, and people are angry about things like the garden waste charge. I also loved going to the council run garden centre but sadly, that’s closed. I’ve got nothing against asylum seekers or Chagos Islanders but why are we picking up the bill for them?’
Penny Bailey, 63 who sufferers from Parkinson’s said: ‘I’m disgusted by the amount of money the council is having to spend while we suffer. Over the years, all we’ve seen is the council tax go up and services cut. How about looking after us first? Why is the Labour Government not helping us pay for these people?’
Dan Bellini, 35 said: ‘I’ve worked in Hillingdon for more than five years and over that time I’ve seen it go downhill. I think the Government have let things get out of control with the asylum issue and it’s had a negative effect on our lives.
‘People seem to be coming from all over the world and none of them seem to be that bothered about actually contributing. British people feel neglected, the cost of living is very expensive, council services are rubbish and life has become an uphill battle.’
Brian Mulkeen, 65 who has lived in the borough all his life said: ‘I’m very angry about a lot of things but especially the garden waste charge. What’s it going to be next? I don’t have a problem with the Chagos Islanders because at the end of the day, they are British, and we probably owe them.
‘But why are we paying for all these asylum seekers? It’s affected the quality of our lives and I don’t understand why nobody is helping Hillingdon with the cost of looking after them.’
Mr Edwards revealed that the council had not ruled out taking legal action against the Government if it does not provide extra funds and reimburse it for what has already been spent.
He said: ‘We want to sort this matter out amicably but if the Government rejects our demands, then we will consider our legal options.’
The Ministry of Housing, Communities and Local Government has been contacted for comment.