Back to map
Hotel ProfileOperationalCouncil planning probeUpdated April 2026

Derby Station Hotel, Midland Road

The Derby Station Hotel sits at 21 Midland Road in Derby (DE1 2SL), close to Derby railway station. Home Office data shows that Derby is accommodating 329 asylum seekers in two hotels in the city, the Midland Hotel and the Station Hotel, both on Midland Road near the railway station, and that Derby City Council is now assessing both for potential planning law breaches[1]Press.

3 min readUpdated April 2026Share:XWhatsApp
Operational asylum hotel

Capacity

165

estimated residents

Per night

£170

per resident

Annual

£10m

estimated

Background

The Derby Station Hotel sits on Midland Road, the access road for Derby railway station, in a Victorian terrace of hotels that grew up to serve rail traffic at the once dominant Midland Railway. The Midland Hotel sits a short walk away on the same road. Both have been long-standing commercial city hotels.

Long-standing Home Office use

Derby World reported in 2025 that the Station Hotel and the Midland Hotel had been used by the Home Office for asylum accommodation for several years, with Derby City Council Labour administration noting there had been no complaints about the hotels in six years. The piece confirmed the 329 combined headcount across the two sites[1]Press.

The 2025 council planning assessment

Derby City Council voted in 2025 to assess both Midland Road hotels for potential planning law breaches, following a deadlock-breaking vote by the Liberal Democrat Mayor. Yahoo News UK regional aggregation confirmed the vote and the assessment scope[3]Press.

The Home Office closure timeline promise

In response to a Derbyshire County Council demand for a published timeline, the Home Office stated it intended to close every asylum hotel in due course, although critics fear that the 2029 phase-out target will be difficult to achieve. Derbyshire Times reported the Home Office position and the Derbyshire council demand[2]Press.

Cost analysis

At the £170 per person per night Migration Observatory benchmark[4] and an estimated half-share of the 329 combined Midland Road headcount (about 165 residents at the Station Hotel), the site running cost works out at about £28,000 per night and roughly £10.2 million per year. The combined Midland Road cluster therefore lands at over £20 million per year on the £170 benchmark. The May 2025 NAO contract review put the average per hotel run rate across the wider portfolio at about £5.84 million per year[5]NAO.

Per-person per-day cost stack (benchmark)

£170
  • Hotel rate (room + three meals)£10059%
  • Weekly cash allowance£74%
  • Legal aid & casework£127%
  • NHS / interpreter / utilities£1911%
  • Contractor / security overhead£3219%

Cost in context

Derby Station Hotel

£170

benchmark

UK asylum hotel avg

£170

NAO

Derby budget hotel

£60

commercial

Hostel bed

£30

commercial

Timeline

Timeline

  1. Pre-2020

    Operates as a Victorian commercial hotel on Midland Road serving Derby railway station

  2. 2020

    Used as Home Office asylum accommodation

    Site joined the Midland Hotel in housing the Derby asylum cohort.

  3. 2025

    Home Office data shows 329 across two Midland Road hotels

    Derby World reports the Home Office headcount.

  4. 2025

    Council planning assessment vote

    Liberal Democrat Mayor casts deadlock-breaking vote to investigate planning law breaches.

  5. 2025

    Home Office reaffirms 2029 closure target

    Derbyshire Times reports the response to the Derbyshire County Council timeline demand.

Sources

  1. Two Derby hotels housing asylum seekers could face enforcement or legal action Derby World, 2025

    Derby World reports Home Office data shows Derby is accommodating 329 asylum seekers in the Midland Hotel and the Station Hotel on Midland Road near the railway station, and that Derby City Council is assessing both for potential planning law breaches.

  2. Home Office insists it will close every asylum seeker hotel after Derbyshire council demands timeline Derbyshire Times, 2025

    Derbyshire Times reports the Home Office stated it intends to close every asylum hotel after Derbyshire County Council demanded a published timeline.

  3. Council will investigate Derby asylum hotels to see if planning laws broken Yahoo News UK, 2025

    Yahoo News UK regional aggregation confirming Derby City Council will assess the Station Hotel and Midland Hotel on Midland Road for potential planning law breaches.

  4. Asylum accommodation in the UK Migration Observatory, University of Oxford, Aug 2025

    £170 per person per day in hotels (2024/25 average); used for per-hotel estimates and food/utilities breakdowns.

  5. The Home Office's asylum accommodation contracts National Audit Office, May 2025

    222 hotels in use; £1.296 billion annual (2024/25); per-hotel approximately £5.84 million.

View on Interactive Map →