Birmingham City Council will withdraw from the contract with the UK Border Agency (UKBA) on 30 June 2011, marking the end of a five year contract.
Councillor John Lines, Cabinet Member for Housing, said: “Over the last year, we have seen a sharp increase in the number of homeless people in Birmingham and we must help the citizens of this city first and foremost.
“With a long waiting list for homes, we really need all our properties for our people in these difficult economic times.
“The decision not to continue as a member of the West Midlands Consortium has not been taken lightly, however in the interest of local people this decision has been made.
“Birmingham will continue to meet our obligation to help the government and we will work with the UKBA to help them find alternative services, possibly in the private sector, so that they can meet their objectives following the end of our contract with them.”
Birmingham is one of several local authorities in the West Midlands that have provided accommodation for asylum seekers dispersed to the region. Other members of the consortium are Wolverhampton, Dudley and Coventry.
Rejecting the offer of a contract extension, the council has given notice to the other authorities in the West Midlands Consortium of its intention to exit the contract in June 2011.
After the contract ends, the council will continue to fulfil its duties in relation to housing advice and assistance.
Birmingham will continue to provide up to 190 homes for asylum seekers until June 2011.
Ends
Further information from Birmingham City Council’s press office on 0121 303 6969.
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