UK

Essex migrant accommodation company more than doubles profits

There is no suggestion Clearsprings is doing anything illegal.

IMAGE SOURCE,SIMON DEDMAN/BBC

Image caption,

Clearsprings Ready Homes, which is based in an office in Rayleigh (pictured) reported a £62m profit

By Simon Dedman

BBC News, Essex

A contractor providing accommodation and service for migrants across southern England and Wales has more than doubled its profits in the last year.

Clearsprings Ready Homes, based in Essex, made £62m in profit compared to £28m in 2022, after tax.

Previously the company has been criticised for offering poor quality meals to asylum seekers in the hotels.

The company has been contacted for comment.

IMAGE SOURCE,REFUGEE ACTION

Image caption,

One migrant at a hotel in Essex said their meal last year provided by Clearsprings - a chicken burger and chips - was partially frozen

Clearsprings turnover also increased from £502m in 2022 to nearly £1.3bn for the year ending 31 January 2023.

The company's annual report, published last week, states the increase reflects the growth in the number of migrants.

Clearsprings has come under fire for outbidding councils for temporary accommodation and the quality of food.

In Essex last year, charities said asylums seekers turned to food banks and begging to find better food than that provided by Clearsprings.

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The company said last year it had "been working tirelessly to secure extra accommodation to ease the pressure on the system and to meet contractual obligations to accommodate asylum seekers who would otherwise be destitute" and that "all meals are nutritionally assessed as well as meeting any dietary requirements".

The report stated: "Demand for asylum accommodation has remained high throughout the year.

"This has been driven by an ever-increasing influx of asylum applicants to the UK due to the high levels of political and economic turmoil in many countries. Contingency accommodation including hotel has increased over the year".

IMAGE SOURCE,PA MEDIA

Image caption,

MDP Wethersfield near Braintree is one of the sites Cleasrprings is runnings

The report also states the contractor is looking to expand its involvement in "larger non-hotel accommodation sites, such as ex-army camps".

The Rayleigh based company is the service provider running migrant accommodation at MDP Wethersfield near Braintree in north Essex.

The annual report states the company "is well placed" for new contracts when they are out for tender by the Home Office.

Clearsprings contracts with the Home Office run until September 2029.

There is no suggestion Clearsprings is doing anything illegal.