The Bibby Stockholm barge will stop housing asylum seekers from the end of January 2025 as part of the government’s overhaul of the asylum system.
The barge, currently moored in Dorset, was set up by the last Conservative government as one of its attempts to cut hotel bills for people who had come to the UK via small boat crossings.
But the Home Office has now confirmed it will end the contract from next year “as part of the government’s commitment to clear the backlog and fix the asylum system”.
A spokesman said extending the contract would have cost more than £20 million next year.
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