The Home Office has issued a direct appeal to asylum hotels not to evict migrants amid a cash-flow crisis that arose after it ditched one of its major contractors.
Some companies have already started withdrawing services such as hotel security and housekeeping after the sacked contractor, Stay Belvedere Hotels Ltd (SBHL), failed to make scheduled payments.
Industry sources told The Telegraph that other hotel companies were considering similar moves as SBHL sought to renegotiate how it makes its payments to providers of the accommodation for thousands of asylum seekers.
The crisis stems from the Home Office’s decision to strip SBHL of its contract to run more than 50 migrant hotels over its alleged behaviour and poor performance.
SBHL is…