Councils have called for people to be allowed more time to leave Home Office accommodation after receiving an asylum decision.
The Local Government Association (LGA) said the abrupt withdrawal of government support at the end of the 28-day move-on period put pressure on stretched council budgets and services.
In an LGA survey, 89% of councils said the end of support led to increased homelessness presentations between last August and March this year, while the Home Office sought to speed up decision-making to clear the asylum backlog.
Three-fifths of authorities said the withdrawal of support led to more people rough sleeping.
More than eight in 10 councils (84%) said the best way to reduce pressure would be to extend the move-on period to 56 days.
The LGA urged the Government to use the survey to inform its next asylum backlog clearance programme.
LGA chair Louise Gittins said: ‘We need greater recognition from central government of the crucial role councils play in supporting effective move-on processes.
‘Increasing the move-on time to 56 days would bring this into line with best practice around supporting other vulnerable people […] and reduce risks of homelessness and destitution locally.’
The MJ understands that asylum hotels are expected to remain open for months, with the Home Office privately suggesting they will be required for longer than originally planned.