Andy Burnham is set to press ahead with plans to place more asylum seekers in wealthier, "middle-class" areas of the UK, even though this would cost taxpayers more than housing them in cheaper accommodation. The Prime Minister has said he does not want dispersal to fall only on the "poorest communities" and believes "all parts of the country need to play their part", amid reports the Home Office may raise rent caps on private contractors to allow properties in pricier postcodes to be used.

Home Office figures show 97,519 people were receiving asylum support at the end of March, including 20,885 in hotels and 72,768 in other accommodation such as shared houses. Daily Mail analysis found 17 local authorities, including the Cotswolds, the New Forest and the Scottish Highlands, currently host no taxpayer-supported asylum seekers, while areas such as Blackpool have taken a disproportionate share, according to borders minister Anna Turley. The plans have drawn anger from Conservative MPs, including Dame Harriett Baldwin and Joe Robertson, who argue the approach is costly and self-serving, while a Downing Street source said Burnham accepts it will cost more but sees fairer distribution as "a point of principle".