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.
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
Pre-2020
Operates as a Victorian commercial hotel on Midland Road serving Derby railway station
2020
Used as Home Office asylum accommodation
Site joined the Midland Hotel in housing the Derby asylum cohort.
2025
Home Office data shows 329 across two Midland Road hotels
Derby World reports the Home Office headcount.
2025
Council planning assessment vote
Liberal Democrat Mayor casts deadlock-breaking vote to investigate planning law breaches.
2025
Home Office reaffirms 2029 closure target
Derbyshire Times reports the response to the Derbyshire County Council timeline demand.
Sources
- 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.
- 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.
- 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.
- 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.
- 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.