OYO Paddington House Hotel, Padgate
The OYO Paddington House Hotel at 514 Manchester Road in Padgate, Warrington, was used by the Home Office to house people who had arrived via small boat crossings until the department terminated its contract at the end of May 2024[1]Press[2]Press.
Capacity
100
estimated rooms
Per night
£170
per resident
Annual
£6.2m
estimated
Background
The Paddington House Hotel sits on Manchester Road in Padgate within walking distance of Padgate railway station, on the eastern side of Warrington. The Home Office used the OYO branded hotel as contingency asylum accommodation from September 2022, with Serco running the building under the North West regional Asylum Accommodation and Support Services contract[1]Press.
Contract end and relocation
In a March 2024 letter to Warrington Borough Council, the Home Office confirmed it was ending the Paddington House contract at the end of May 2024 as part of its comprehensive plan to tackle illegal immigration. The department said hotels were a short-term measure to prevent destitution during periods of high arrivals, and noted a 36 per cent reduction in channel crossings the previous year. Residents were given at least five days' notice before relocation to other parts of the asylum estate[1]Press[2]Press.
Cost analysis
At the £170 per person per night Migration Observatory benchmark[3], roughly 100 residents imply headline taxpayer exposure of about £17,000 per night and £6.2 million per year at full occupancy. Across the September 2022 to May 2024 contract window, cumulative spend at the benchmark rate would be in the region of £10.5 million. The May 2025 NAO contract review put the average per hotel run rate across the wider portfolio at about £5.84 million per year[4]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
Paddington House (closed)
£170
closed-period benchmark
UK asylum hotel avg
£170
NAO
Cheshire budget hotel
£60
commercial
Hostel bed
£30
commercial
Timeline
Timeline
Pre-2022
Operates as a commercial OYO branded hotel on Manchester Road
Sept 2022
Asylum use begins
Home Office contracts the site to Serco for North West dispersal accommodation.
Mar 2024
Home Office confirms wind-down
Letter to Warrington Borough Council announces end of contract for end of May 2024.
May 2024
Contract ends
Residents relocated to other parts of the asylum estate.
Sources
- Home Office terminates asylum seekers contract with Paddington House Hotel — Warrington Worldwide, Mar 2024
Warrington Worldwide reports the Home Office terminated its contract with the OYO Paddington House Hotel on Manchester Road in Padgate at the end of May 2024, with residents relocated to other parts of the Serco-managed asylum estate.
- One of Cheshire town's hotels to cease housing migrants as Home Office ends contract — Chester Standard, Mar 2024
Chester Standard confirms the Home Office is ending its contract with the OYO Paddington House Hotel in Warrington at the end of May 2024 with residents relocated within the asylum estate.
- 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.