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Hotel ProfileClosed to asylum useStaff redundanciesUpdated April 2026

Eight Acres Hotel, Elgin

The Eight Acres Hotel sits on Morriston Road in Elgin, in the Moray Council area of north-east Scotland. The hotel closed to the public on 30 April 2023 to take up a Home Office contingency contract delivered by Mears Property and Care Providers, with up to 50 male asylum seekers aged 18 to 25 from Iran, Iraq and Eritrea housed at the property. The Home Office terminated the contract in early April 2024 and the hotel later began a quarter-million-pound refurbishment to return to commercial trading[1]Press[3]Press.

3 min readUpdated April 2026Share:XWhatsApp
Closed asylum hotel

Capacity

50

asylum residents (peak)

Per night

£170

per resident

Annual

£3.1m

estimated

Background

The Eight Acres is a long-established Elgin hotel and leisure club on Morriston Road. From early May 2023 the hotel began welcoming small groups of asylum seekers under a Mears Home Office contract, with the first 10 residents arriving and a further 40 expected within the following month. Moray Council FOI responses confirm the local authority had no decision-making power over the placement, with the hotel run as a contingency site directly by Mears[1]Press[4]GOV.UK.

Staff redundancies and cancelled bookings

When the hotel closed to the public on 30 April 2023, Northern Scot reported that almost all staff were made redundant, with customers facing cancelled bookings and gym members chasing membership refunds. Former employees described the closure as a shocking experience and the local effects rippled across the town for months[2]Press.

April 2024 contract termination

In April 2024 the Press and Journal reported the Home Office had terminated its contract with the Eight Acres at the start of July 2024 following the contractual notice period. Residents were notified at least five days in advance and moved to other parts of the asylum estate, ending just over a year of asylum use at the site[3]Press.

Cost analysis

At the £170 per person per night Migration Observatory benchmark[5], housing 50 residents implies a headline taxpayer cost of about £8,500 per night and roughly £3.1 million across the year of asylum use. The May 2025 NAO contract review put the average per hotel run rate across the wider portfolio at about £5.84 million per year[6]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

Eight Acres Elgin

£170

benchmark

UK asylum hotel avg

£170

NAO

Elgin budget hotel

£60

commercial

Hostel bed

£30

commercial

Timeline

Timeline

  1. Pre-2023

    Operates as the Eight Acres Hotel and leisure club

  2. 30 Apr 2023

    Closes to the public

    Hotel closes to public bookings as Mears Home Office contract begins; almost all staff made redundant.

  3. May 2023

    First asylum residents arrive

    First 10 male asylum seekers arrive, with up to 50 expected within the month.

  4. Apr 2024

    Home Office terminates contract

    Contract ends after the notice period; residents moved to other parts of the asylum estate.

  5. 2025-2027

    Refurbishment and rebrand

    Building warrant approved for £250,000 of works; hotel set to reopen under the Garner brand.

Sources

  1. We want them to thrive: Elgin hotel welcomes 10 asylum seekers - and a further 40 within the next month Press and Journal, May 2023

    Press and Journal reports the first 10 asylum seekers arrived at the Eight Acres Hotel in Elgin in May 2023, with up to 50 male residents aged 18 to 25 from Iran, Iraq and Eritrea expected within the month under a Mears Group Home Office contract.

  2. Former staff of Eight Acres Hotel share shocking treatment after the hotel closed to house asylum seekers Northern Scot, 2023

    Northern Scot reports former staff of the Eight Acres Hotel describing the closure to the public from 30 April 2023, with almost all employees made redundant, customers facing cancelled bookings and gym members chasing membership refunds.

  3. Eight Acres Hotel in Elgin to stop housing asylum seekers Press and Journal, Apr 2024

    Press and Journal reports the Home Office terminated its contract with the Eight Acres Hotel on Morriston Road in Elgin in early April 2024, with residents notified at least five days before being moved elsewhere in the asylum estate.

  4. FOI Request: Asylum Seekers Information at Eight Acres Moray Council, 2023

    Moray Council Freedom of Information response confirming the Eight Acres Hotel as the contingency asylum accommodation site in the Council area, run by Mears Property and Care Providers under Home Office contract, with the local authority having no direct responsibility for the contingency hotel or its asylum guests.

  5. 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.

  6. 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.

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