Monday 17 November 2025
On the day the government is due to announce major changes to the asylum system, a new report released today (17 November 2025) reveals that every refugee accepted in the UK would contribute £266,00 to the UK economy with fair and humane changes to the asylum system. This includes a net benefit to the public purse of £53,000 each.
‘Welcoming Growth: The economic case for a fair and humane asylum system (1)’ is released by PCS (Public and Commercial Services union) and the coalition campaign Together With Refugees. Carried out by the London School of Economics (LSE) it shows that today’s expected announcement of plans to erode asylum rights, would be counter to the government’s own commitment to economic growth.
The report analyses the economic impact of four specific changes to the asylum system: asylum claims processed within six months, legal assistance at all stages of the application process, English language support from day of arrival and employment support from day of arrival (2).
The UK exchequer would benefit by £53,000 per refugee over 12.5 years after taking into account the additional cost of the four changes needed alongside the full cost of supporting asylum seekers. The net benefit to the economy as a whole would be £265,788 for each refugee over the same period and taking into account the same costs.
The analysis exposes significant inefficiencies and financial waste within the current asylum system. A key reason for the fiscal benefit of the four changes to the system is the reduction in these costs. By expediting asylum application processing to six months and providing legal assistance, asylum system-related costs are reduced by 40% (from £171,000 to £103,000).
It also found that the four changes would result in a net saving in accommodation costs of £42,000 per asylum seeker – equating to a 34% saving in the total cost of accommodation for asylum seekers over a 12.5 year period from arrival (from £144,000 to £79,000). There would also be a 76% increase in total employment income for refugees over a 12.5 year period from arrival. This means that every £1 invested in English language classes and employment support from day one of arrival results in £9 in increased salary.
Dr Saad Maida is a refugee from Syria who was granted refugee status in the UK in 2014. He now works as a senior registrar in obstetrics and gynaecology at an NHS hospital. He said: “Being given safety here in the UK has had an immense impact – thanks to the peace of mind and self-esteem. That’s why I and many other refugees across the UK want to play our part as colleagues, friends and neighbours. We haven’t come here to take advantage. We have come because of war or persecution. And we want to do our bit. I’ve always known that as a refugee, no matter how much you’re submerged in the culture, if you’re not working something is missing. Knowing that my hard work helps others, both through paying taxes and my work as a doctor, is deeply important to me. Being part of the NHS who provide care for everyone, makes me genuinely feel proud.”
Fran Heathcote, General Secretary of PCS the union, said: “The government’s latest plans to decimate the safety we offer to people fleeing war and persecution are not just morally reprehensible, they are also inconsistent with their aim of achieving economic growth, which continues to flatline. This report proves that there is an economic value to compassion. This country is currently lumbered with an asylum system that is unnecessarily costly and cruel. A more humane system would improve the working conditions of our members, save the taxpayer money and boost the economy, benefiting the government’s growth agenda.
“Day in, day out, asylum seekers and refugees are unjustifiably and viciously scapegoated for the failure of politicians to deliver improvements to people’s living standards.
“As this pathbreaking report shows, people who flee war and persecution not only deserve sanctuary for sanctuary’s sake; they can also contribute massively to our economy if they are properly supported from day one of their arrival.
“As well as pointing out the clear economic contributions of asylum seekers and refugees, we will continue to stand up against inhumane policies and racism to offer a more hopeful vision of the future that seeks to unify and not divide the working class.”
Minnie Rahman, spokesperson for Together With Refugees and CEO of migration charity Praxis, said: “The loud anti-migrant voices do not speak for Britain. The truth is, most of us are proud that our country offers sanctuary to those who need it. From our high streets to our hospitals, from our schools to our start-ups, Britain is stronger and richer because of those who’ve come here seeking safety and a fresh start.
“This landmark study blows apart tired claims that refugees are a ‘burden’. The evidence is clear: when given the chance to rebuild their lives, refugees give back – paying taxes, boosting growth, and strengthening our communities.
“It’s time for the government to stop being guided by the far-right and start standing up for the real Britain – the one that believes in compassion, decency, and opportunity for all.”
As a trade union that represents members across the UK civil service and related areas, PCS has taken a keen interest in proposing principled and pragmatic solutions to a wide range of issues, from asylum to tax and welfare, by consulting with its members and experts alike. PCS members process asylum claims, and would carry out the proposed employment support outlined in the above report. Just this year, PCS jointly released a report with Care4Calais on the need to provide safe and secure routes for those seeking refuge in the UK, in part to protect the interests of our members in the Border Force. ‘Welcoming Growth: An economic analysis of a fair and human asylum system’ is just the latest effort by PCS to work with members, external organisations and experts to imagine a more positive – and just – alternative vision of our society.
Together With Refugees is the largest pro-refugee coalition in British history with more than 600 member organisations, from grassroots and refugee-led groups to international development charities and trade unions. With 80% of the British public wanting an approach to the asylum system that is well managed, fair and compassionate, the coalition is calling for a fair new plan for refugees. It wants a plan that upholds the UK’s commitment under international law to the right to claim asylum, provides a proper strategy for welcoming refugees, and forges stronger global cooperation to tackle the root causes that force people to flee their homes and provides positive solutions when they do, including through safe routes to refugee protection.
NOTES TO EDITORS
- Welcoming Growth: An economic analysis of a fair and humane asylum system
- Can be downloaded here (from 00.01am 17 November 2025).
- The study used an individual-level simulation Markov model to closely simulate the journey of asylum seekers and refugees using real demographic and economic data. It measured changes in health care use, employment, and associated public sector costs. It explored different interventions to inform the modelling approach, based on more than thirty global asylum and refugee integration schemes. The model includes five mutually exclusive states which represent the asylum-seeking and refugee stages, from arrival to settlement or deportation. The movement between the five stages is calculated by transition probabilities, taken from the evidence. The time horizon was 11.5 years to 12.5 years, covering the period from arrival in the UK as an asylum seeker, to five years post the stage defined as “Settlement”.
- The four interventions used for the analysis are:
- Six months to process asylum claims – a target of previous governments and in line with this Government’s commitment to speed up asylum decisions – as opposed to the current average of 18 months.
- Legal support available to everyone during the asylum process, improving success rates (Asylum Justice, 2020).
- English language training from the day of arrival. Before intervention, about 85% of refugees lack sufficient English (Greater London Authority, 2023).
- Employment support with personalised help such as mentoring and interview preparation.
About PCS
PCS is the largest trade union in the civil service and related sectors, representing around 190,000 members in the UK government (including Department for Work and Pensions, Home Office, HMRC, Ministry of Justice, Ministry of Defence), the governments of the devolved nations, as well as workers employed by non-departmental public bodies (NDPBs) and government contractors.
About Together with Refugees
Together With Refugees is the largest pro-refugee coalition in British history with more than 600 member organisations, from grassroots and refugee-led groups to international development charities and trade unions. With 80% of the British public wanting an approach to the asylum system that is well managed, fair and compassionate, the coalition also has a growing network of committed people getting organised and taking action to influence their MPs in constituencies across the country. The coalition is calling for a fair new plan for refugees that upholds the UK’s commitment under international law to the right to claim asylum, provides a proper strategy for welcoming refugees, and forges stronger global cooperation to tackle the root causes that force people to flee their homes and provides positive solutions when they do, including through safe routes to refugee protection. Find out more at togetherwithrefugees.org.uk and @RefugeeTogether on X and @RefugeesTogether on Instagram and BlueSky.
About LSE
The report was carried out by the Care Policy and Evaluation Centre (CPEC) at the London School of Economics and Political Science. CPEC is a leading international research centre carrying out world-class research in the areas of health and social care – across the life course – to inform and influence policy, practice, and theory globally. The London School of Economics and Political Science (LSE) is a world-leading social science specialist university, awarded University of the Year 2025 by the Times and The Sunday Times Good University Guide. For more information visit lse.ac.uk.