Mercure George Hotel, Reading
The Mercure George Hotel on King Street in central Reading was used by the Home Office during the 2020 pandemic to house around 80 asylum seekers moved in from eight other UK cities, and again in 2021 to take in Afghan refugees flown out under Operation Pitting[1]Press[2]GOV.UK.
Capacity
80
rooms (approx.)
Per night
£170
per resident
Annual
£5.0m
estimated
Background
The Mercure George Hotel sits on King Street in the heart of central Reading, near the Oracle shopping centre and Reading railway station. The Grade II listed property has a long history as a Berkshire town centre coaching inn and latterly traded as a Mercure-branded mid market hotel.
2020 pandemic placement
From March 2020 the Home Office moved around 80 asylum seekers and refugees into the George Hotel as part of its pandemic response, with residents transferred from accommodation in eight other UK cities and towns, mainly London. Healthwatch Reading visited the hotel four times and spoke to 43 residents from 19 different countries speaking 16 different languages[2]GOV.UK.
Healthwatch findings on healthcare and allowances
The Healthwatch Reading insight report identified significant healthcare failings: 57 per cent of residents were still not registered with a GP four months after arrival, several people had had their Home Office weekly allowance stopped, and the move to the hotel had caused unsafe breaks in ongoing treatment and access to regular medication[2]GOV.UK.
Berkshire Live followed up in 2021 reporting that asylum seekers at the hotel had been left without medication for weeks, citing the Healthwatch findings as evidence of a broken health pathway in Home Office hotel accommodation[3]Press.
2021 Afghan refugee placement
In August 2021 the George was approached by the Home Office again, this time to house Afghan refugees evacuated under Operation Pitting. Berkshire Live reported that a family who had booked the hotel for Reading Festival had their stay cancelled at short notice, with the hotel saying it had agreed to take in the refugees in view of the humanitarian crisis[1]Press.
Cost analysis
At the £170 per person per night Migration Observatory benchmark[4]and a peak headcount of around 80 residents, headline taxpayer exposure runs at roughly £13,600 per night and about £5 million per year of contract value. That is broadly in line with the May 2025 NAO contract review average of about £5.84 million per year per hotel[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
Mercure George Reading
£170
benchmark
UK asylum hotel avg
£170
NAO
Reading budget hotel
£65
commercial
Hostel bed
£30
commercial
Timeline
Timeline
Pre-2020
Operates as a Mercure-branded town centre hotel on King Street
Mar 2020
Home Office begins pandemic placements
Around 80 asylum seekers moved in from accommodation in eight other UK cities, mainly London.
Nov 2020
Healthwatch Reading publishes findings
Insight report documents stopped allowances, missed medical care, and 57 per cent of residents not registered with a GP after four months.
Aug 2021
Hotel takes in Afghan refugees
Berkshire Live reports the Home Office contracted the George Hotel to house Afghans evacuated under Operation Pitting; existing festival bookings cancelled at short notice.
Sources
- Reading Festival-goers Mercure George Hotel booking cancelled for Afghan refugees — Berkshire Live, Aug 2021
Berkshire Live reports the Mercure George Hotel in Reading was taken over by the Home Office to house Afghan refugees, with festival bookings cancelled at short notice in August 2021.
- Health of asylum seekers and refugees placed in a Reading hotel during the pandemic — Healthwatch Reading, Nov 2020
Healthwatch Reading visited the George Hotel four times during the pandemic and spoke to 43 of approximately 80 asylum seekers and refugees the Home Office had placed there since March 2020, documenting GP registration delays and stopped allowances.
- Reading hotel asylum seekers left without medication for weeks, report finds — Berkshire Live, 2021
Berkshire Live reports on the Healthwatch Reading findings about the George Hotel, including breaks in medication and treatment for asylum seekers placed there during the pandemic.
- 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.