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Refused asylum seeker families offered up to £40,000 to leave UK in pilot scheme

Home Secretary Shabana Mahmood announces a pilot scheme offering up to £40,000 to refused asylum seeker families to leave the UK, alongside reforms to the asylum system and border control measures.

·12 min read
Home secretary Shabana Mahmood delivers a speech to the Institute for Public Policy Research

Small number of failed asylum seekers to receive increased incentives to leave UK

A pilot scheme will offer a small number of asylum seekers whose claims have been rejected an increased incentive payment of £10,000 per individual and up to £40,000 per family to voluntarily leave Britain, announced Home Secretary Shabana Mahmood.

Mahmood stated the government aims to replicate reforms introduced in Denmark, where incentive-based approaches have reportedly achieved "great success".

"This government will now pilot a similar model for families who are failed asylum seekers, a small number of whom will now be offered an increased incentive payment of £10,000 per person and up to a maximum of £40,000 per family."

She added that these incentives could result in "significant savings" for taxpayers if proven effective.

"Where a voluntary removal is refused, we will escalate to an enforced removal for those who can be returned to their safe home country.
We are now consulting on precisely how the removal of families with children must take place in a way that is humane and effective.
For too long, families who have failed their claims have known that we are not enforcing our rules, which created a perverse incentive to make a channel crossing with children in a small boat it."
Home Secretary Shabana Mahmood delivers a speech to the Institute for Public Policy Research (IPPR), in Westminster, London.
Home Secretary Shabana Mahmood delivers a speech to the Institute for Public Policy Research (IPPR), in Westminster, London. Photograph: Stefan Rousseau/PA

Mahmood warns of risks from hard right government if borders not secured

The Home Secretary cautioned that without "restoring order to our borders," Labour risks allowing a populist right-wing government to dominate the immigration narrative.

"When fearful people turn inwards, their vision of this country narrows and their patriotism turns into something smaller, something darker. And ethnonationalism emerges.
The idea of a Greater Britain gives way to the lure of a little England and other voices. Voices to the far-right take hold.
If the left does not secure our borders, the hard right will be given the chance to try, and they will not be restrained by values like ours."

In a veiled reference to Nigel Farage’s Reform UK party, Mahmood warned:

"They will pull up the drawbridge, those who have been here for decades legally with settled status will suddenly hear a knock on the door one night, bundled into the back of a van … and deported from this country that they have made their home."

She also criticised Green Party leader Zack Polanski for assisting migrants on French beaches.

"Farage calls for border control without fulfilling our humanitarian and international duties.
Polanski calls for the most expensive and expansive migration policies anywhere in the world, without any attempt to control the border.
Nightmare on one hand, fairytale on the other."

Mahmood addresses misinformation on sharia law and praises Sadiq Khan

When questioned about US President Donald Trump’s criticisms of London Mayor Sadiq Khan and claims regarding sharia law in London, Mahmood responded:

"The US president will say some things that we agree with and others that we disagree with.
We are getting our immigration system under control. That is my job. That’s what I’ve been setting out today, and we will pursue that.
Others can comment as they wish, but what I am motivated by is resolving problems for citizens in our country.
And let me just say on Sadiq, I think he’s doing an excellent job as mayor of London and there is a lot of misinformation that is often put out about what’s happening in London, whether that’s on crime rates or whether that’s on things like sharia law, for example, which are just misinformation. That’s plain wrong.
And I think that Sadiq is doing a good job, and the proof of that is the fact that, you know, he’s won a mandate from the people of London on three separate occasions."

UK suspends visa routes for countries with high abuse rates

Mahmood announced the suspension of visa routes for Afghanistan, Cameroon, Myanmar, and Sudan due to "unacceptably high" abuse. Additionally, visit visas will be imposed on St Lucia and Nicaragua.

"I introduce all of these measures in an attempt to bring our systems of legal migration and asylum into line with this party’s values.
Upholding our international responsibilities, while securing our own borders.
Fair but firm, compassionate but controlled, rights earned through responsibilities fulfilled."

Reforms to asylum system and settlement qualifications outlined

Mahmood detailed reforms including increasing the qualifying period for settlement from five to ten years as a norm. Applicants will need to meet conditions such as a clean criminal record, no taxpayer debt, consistent work and tax payment history, and higher English language standards.

The first change, effective this week, requires those seeking settlement on a visa to demonstrate English proficiency at an A level standard within a year.

"I should also state for the record, we are talking about English as a foreign language.
A working knowledge of Shakespeare and Chaucer is very welcome but will not be a condition of settling in this country.
Command of the English language, however, will be.
Some people will be able to achieve settled status at or earlier than five years, she adds, including public servants, such as doctors and nurses."

Asylum system deemed unfair to hard-working UK residents

Mahmood stated the asylum system is "not fair" to "hard-working people" across the country.

"Hard-working people across this country engaged in the daily struggle to make ends meet; they see a state that they pay taxes for but it is unable to stop a flow of dinghies across the channel.
And they see a state that is paying billions towards hotels like the one near them.
It doesn’t look fair because it’s not fair. And it erodes their trust in government.
Without the trust of citizens in the state, there is no space for Labour values in any part of government to be realised."

She emphasized that restoring border control is essential for a Labour government to achieve its goals.

Labour party faces internal challenges over migration stance

Mahmood acknowledged the Labour party is experiencing a "difficult time" with its identity being "bitterly" contested, particularly on migration issues.

Speaking at the Institute for Public Policy Research (IPPR), she stated:

"It is a pleasure to be here and to be hosted by the IPPR, Britain’s leading progressive think tank, a fitting host to set out not just what this government is doing on asylum and migration, but why.
There is no denying that we meet at a difficult time for my party. It is a time when who we are and what we stand for is contested, sometimes bitterly, and nowhere is that contest more keenly felt than in the politics of migration.
I have, of late, been offered wise counsel on this topic from certain quarters. I have been told that we must, quite simply, be more Labour. Well, you know what? I happen to agree we should be more Labour.
Of course, we should be more Labour. The real question is, what does more Labour mean, because, in my view, more Labour doesn’t mean more Green, just like more Labour doesn’t mean more Reform.
More Labour means reconnecting with who we are, who we represent, and what we believe. That begins by understanding that the Labour party has always been a broad church."

She affirmed Labour’s commitment to protecting genuine refugees and highlighted the UK’s intake of Ukrainian and Hong Kong refugees.

Mahmood stated that restoring border control is not a betrayal of Labour values and emphasized the need to attract high-skilled workers, asserting that "the privilege of living in this country forever must be earned."

Cabinet meeting at Downing Street, in LondonBritish Home Secretary Shabana Mahmood walks outside of Downing Street, in London, Britain, March 3, 2026.
Cabinet meeting at Downing Street, in LondonBritish Home Secretary Shabana Mahmood walks outside of Downing Street, in London, Britain, March 3, 2026. Photograph: Toby Melville/

Arrests on suspicion of spying for China

David Taylor, husband of Scottish Labour MP Joani Reid, and two other men aged 43 and 68 were arrested by counter-terrorism officers in London and Wales on suspicion of assisting a foreign intelligence service. All three have been released on bail until May, according to the Metropolitan Police.

Reid, MP for East Kilbride and Strathaven and a member of the Home Affairs Select Committee, stated she had "never seen anything to make me suspect my husband has broken any law." She also clarified that neither she nor her children are involved in the investigation.

Mahmood responds to calls for softer migration stance

In a column, Mahmood rejected demands from senior Labour figures to reduce focus on migration and soften criticism of the Green party.

"Restoring order at our border is not just an embodiment of Labour values, it is the necessary condition for a Labour government to do anything at all."

She described Labour’s vision as appealing to the mainstream, avoiding extremes represented by Farage’s closed borders or the Greens’ open borders.

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Mahmood also announced plans to launch a new "safe and legal" route in autumn for students seeking refuge.

Labour MPs express concerns over asylum proposals

Labour MP for Folkestone and Hythe, Tony Vaughan, coordinated a private letter signed by 100 Labour MPs expressing concerns about Mahmood’s "earned settlement" and temporary refugee status proposals.

The letter, sent on 4 March, called for progressive changes aligned with Labour values and argued that some proposals could undermine integration and cohesion objectives. It highlighted risks such as worsening child poverty, unfairly shifting settlement criteria, and harming economic competitiveness by exacerbating skills shortages.

Home Secretary to outline 'firm but fair' asylum system

Mahmood is scheduled to deliver a speech advocating a "firm but fair asylum system." The Home Office announced that up to 21,000 asylum seekers who have waited a year for claim processing may be allowed to enter the workforce to support themselves.

As part of efforts to reduce asylum hotel occupancy, claimants who break laws, work illegally, or have sufficient assets will be ejected and lose support payments starting in June.

The Refugee Council has expressed concerns that these measures could increase rough sleeping among vulnerable individuals fleeing conflict and famine.

Currently, approximately 30,600 people await asylum claim decisions across the UK, with 107,000 receiving asylum support.

UK Defence Secretary visits Cyprus amid regional tensions

Defence Secretary John Healey has arrived in Cyprus for talks with his counterpart, reports. His visit follows criticism from Cypriot officials regarding the UK’s response to drone attacks linked to the Middle East conflict.

UK officials believe a Shahed-type drone that struck an RAF base evaded detection by flying low and slow and was launched by pro-Iranian militias in Lebanon or western Iraq. Investigations have not conclusively determined the drone’s launch site. The attack occurred during Iranian retaliatory strikes following US and Israeli actions that resulted in the death of Iran’s Supreme Leader, Ayatollah Ali Khamenei.

Kemi Badenoch advocates UK offensive action against Iran

Tory leader Kemi Badenoch stated the UK should consider offensive measures against Iran after attacks on British bases.

"We need to do what we can to stop the ability for these attacks to take place," Badenoch told BBC Radio 4’s Today programme.
"I think that we should look at what our allies in the region are saying. Even if we’re not talking about Iran, Cyprus feels that we have not been helpful. It is extraordinary that Bahrain and Kuwait in the UAE are publicly criticising us...
They think that we’re abandoning them."
"If your principle is, we will only wait until we are attacked rather than dealing with imminent threats properly, then we will be in a lot of trouble."

Regarding concerns about her stance, Badenoch said:

"Being realistic is not gung ho. I don’t want a wider war.
But sometimes the best way to de-escalate a situation is to try and finish it quickly, rather than let it drag out because you don’t want to get involved."

Cabinet ministers reportedly blocked UK bases use for US strikes on Iran

Reports indicate that cabinet ministers, led by Energy Secretary Ed Miliband, opposed Prime Minister Keir Starmer’s proposal to allow the US to use British airbases for strikes on Iran.

Chancellor Rachel Reeves, Foreign Secretary Yvette Cooper, and Home Secretary Shabana Mahmood joined Miliband in opposing the plan, according to political journalist Tim Shipman.

Starmer, supported by Defence Secretary John Healey, initially sought to permit US "defensive strikes" but ultimately yielded to cabinet opposition.

Shipman reported that the US first requested use of UK bases on 11 February, but Attorney General Richard Hermer advised this would breach international law. Despite this, the Ministry of Defence worked with US counterparts on the request, and the National Security Council approved strikes more than 24 hours after the US launched a "pre-emptive strike" on Iran.

Sources told that the US did not share full operational details or timing with the UK before joint strikes with Israel.

John Healey’s visit to Cyprus aims to address diplomatic tensions following the drone attack on the RAF base, which has drawn criticism from local officials.

Additional political and security developments

Up to 21,000 asylum seekers waiting over a year for claim decisions may be allowed to work, as part of government efforts to reduce asylum hotel occupancy. Claimants violating laws or working illegally will lose support payments from June.

David Taylor, husband of Labour MP Joani Reid, was arrested on suspicion of spying for China but has been released on bail. Reid stated she has no knowledge of any wrongdoing by her husband and requested privacy for her family.

Andy Burnham criticized Labour leader Keir Starmer’s campaigning approach, describing it as "bankrupt" and ineffective in connecting with voters, following Labour’s loss of the Gorton and Denton seat.

The BBC plans to call for an end to political appointments to its board and seeks to secure its royal charter permanently to protect its independence from ministerial negotiations every decade.

This article was sourced from theguardian

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