Ukrainians in UK fear homelessness over host scheme funding cuts

Ukrainian refugees fear they could be left homeless after the government quietly axed 70% of funding for hosts of the Homes for Ukraine scheme, reducing monthly “thank you” payments to them from £350 to £100.

The scheme was launched after Russia’s invasion of Ukraine in February 2022 and has provided support for 181,000 of the 234,000 Ukrainians who have since sought sanctuary in the UK.

Now the government has said it will cut the hosting payments and reduce contributions to local authorities which are paid a sum for each arrival to meet costs associated with the delivery of the programme.

A written statement to parliament from the Ministry of Housing, Communities and Local Government on 15 September said funding would be reduced from £5,900 to £3,300. The changes will come into effect from 1 January 2027.

Tetiana, a 73-year-old Ukrainian refugee who has been hosted for two years and four months, said she was devastated to read the government’s letter circulated to hosts in the last few days informing them of the changes.

“I feel that this financial change could impact on my host’s ability to host me. If the hosting comes to an end I don’t know where I will go and how I can start again. I can’t work because of my age and because I have mobility problems. I fled from Kharkiv which is close to the Russia frontline so I can’t go back to Ukraine. I don’t know what I will do. I’m at a loss about what my options will be. This change has created a lot of uncertainty for me. I don’t know how I would be able to pay rent if hosting finishes for me.”

Nataliya Rumyanetseva is hosting her mother, the first Ukrainian to arrive in the UK after the war started. She said the changes were likely to have a significant impact. “When refugees arrive here from Ukraine they are shell shocked and need time to adapt and learn the language. If hosting changes to become a more commercial rental arrangement I think that’s cruel.”

One host who lives in Greenwich said he did not know if he would be able to continue hosting because of the drop in payments. “I’ve been a sponsor since May 2022. I was dismayed to learn that thank you payments are reducing to just £100. I lost my job within months of becoming a sponsor and these payments have become an absolute lifeline even though I did not volunteer for this scheme for the money. I genuinely worry about the consequences of this change for Ukrainians in the UK.”

One option the government proposes is that hosts can switch to landlord status and charge refugees rent.

A host who lives in Cardiff and is hosting a Ukrainian who has enrolled on a course of study said: “The situation feels like a cheap shot from the government. We, in good faith, opened our home to someone in need. That person, in good faith, planned for a life in the UK. And the government in what seems like very bad faith, saw an easy way to claw money back from people who aren’t in a position to stop them.”

The government says it has so far provided more than £1.81bn for the scheme.