Birmingham City Council is to stop accepting asylum seekers in the city.
It will withdraw from its contract with the UK Border Agency (UKBA) in June 2011, ending a five-year contract.
Councillor John Lines, cabinet member for housing, said: “With a long waiting list for homes, we really need all our properties for our own people.”
“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. “
He continued: “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.”
The council – run by a coalition between The Conservatives and Liberal Democrats – is one of several local authorities in the West Midlands to have provided accommodation for asylum seekers dispersed to the region.
Other members of the consortium are Wolverhampton, Dudley and Coventry.
The council said after the contract ends it would 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.
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