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ClosedLarge Site (Ex-military)Updated April 2026

Penally Training Camp: Asylum Accommodation Profile

Penally Training Camp, a Ministry of Defence training site near Tenby in Pembrokeshire, was used to house unaccompanied adult men seeking asylum from 21 September 2020 until residents were withdrawn on 21 March 2021. It opened on the same week as Napier Barracks in Kent and operated as the Welsh half of a short-lived twin-site contingency programme. Both sites were the subject of a single joint HMIP and ICIBI inspection, which found fundamental failures of leadership and planning by the Home Office and concluded that conditions were impoverished, run-down and unsuitable for long-term accommodation.

4 min readUpdated April 2026Share:XWhatsApp
No longer in asylum use· HMIP / ICIBI / GOV.WALES / ITV News Wales (2020-2021)

Cumulative taxpayer spend

£7,200,180

Total spend September 2020 to March 2021: £7,200,180

Asylum use began
September 2020
Asylum use ended
March 2021
Peak residents
234
Days in asylum use
181
Benchmark rate
£170/person/night

No site-specific total has been published, so this figure approximates it using the contracted bed capacity (peak resident count as a proxy) at the £170/person/night NAO all-in benchmark across the documented asylum-use window. Home Office contracts pay for the full capacity whether beds are occupied or empty, so this is a rough "taxpayer exposure" measure — not a settled invoice.

Closed 21 March 2021

Capacity

234

design capacity (men)

Per night

£170

per resident

Annual

£15m

estimated

Key Facts

Site type:Ministry of Defence training camp
Location:Penally, near Tenby, Pembrokeshire
Asylum use began:21 September 2020
Residents withdrawn:21 March 2021
Design capacity:Up to 234 men
Headcount at peak:~171 (HMIP figure)
Demographics:Unaccompanied adult men (no women, children or families)
Operator:Clearsprings Ready Homes / Home Office direct
Inspection finding:Fundamental failures (HMIP/ICIBI, 2021)
Status:Returned to Ministry of Defence; site closed late 2022
Sister site:Napier Barracks (Folkestone)

Operational Timeline

12 to 13 September 2020: The Home Office took over the Penally site from the Ministry of Defence in a handover that the inspectors later judged had been planned in days rather than weeks. The first asylum residents arrived a week later[1].

21 September 2020: Penally Training Camp opened as contingency asylum accommodation for unaccompanied adult men, alongside the parallel opening of Napier Barracks in Folkestone. The site was operated under a Ministry of Defence licence with Clearsprings Ready Homes contracted to deliver day-to-day services[1].

October 2020: The Welsh First Minister Mark Drakeford publicly called for the camp to close as quickly as possible. The Welsh Government had not been consulted on the decision to use the site and raised concerns about Covid-19 compliance, the rural location, and the lack of specialist support for vulnerable men[4].

16 to 17 February 2021: HM Inspectorate of Prisons and the Independent Chief Inspector of Borders and Immigration carried out a joint inspection of Penally Camp, returning to Napier Barracks for further visits in February and March. The inspection covered both sites because they had been opened on the same plan[1].

9 March 2021: The first inspectors' findings were reported in the Welsh press. ITV News Wales described the site as filthy and run-down, and quoted residents describing dormitory rooms with broken heating and shared washing facilities[3].

16 March 2021: Welsh Secretary Simon Hart, also the Conservative MP for Carmarthen West and South Pembrokeshire, confirmed the Home Office decision not to extend the use of Penally Camp. The site was scheduled to be returned to the Ministry of Defence by 21 March[3].

21 March 2021: The last asylum residents were withdrawn and the site was handed back to the Ministry of Defence, ending the six-month asylum-use period[4].

16 April 2021: The full HMIP and ICIBI report was published. Inspectors found fundamental failures of leadership and planning by the Home Office and concluded that staff at both sites lacked the experience and skills to run large-scale communal accommodation[2].

Late 2022: The camp itself was put up for sale by the Ministry of Defence, completing its withdrawal from active use[1].

Timeline

  1. 12 to 13 Sep 2020

    MoD hands site to Home Office

    Days-not-weeks handover later criticised by HMIP and ICIBI inspectors.

  2. 21 Sep 2020

    Asylum use begins

    Site opens for unaccompanied adult men alongside parallel opening at Napier Barracks.

  3. Oct 2020

    Welsh First Minister calls for closure

    First Minister Mark Drakeford raises Covid-19, rural-location and consultation concerns publicly.

  4. Feb 2021

    HMIP and ICIBI inspection visit

    Joint inspection of Penally and Napier as a single twin-site programme.

  5. 16 Mar 2021

    Closure confirmed

    Welsh Secretary Simon Hart confirms the Home Office will not extend the use of the camp.

  6. 21 Mar 2021

    Residents withdrawn

    Last asylum residents leave; site returns to the Ministry of Defence.

  7. 16 Apr 2021

    Full HMIP and ICIBI report published

    Findings: fundamental failures of leadership and planning at both Penally and Napier.

  8. Late 2022

    Site put up for sale

    Ministry of Defence places the camp on the open market.

HMIP and ICIBI Findings

The 2021 joint inspection report is the most detailed published account of conditions at Penally. Inspectors recorded that 171 asylum residents had been housed at the site at peak, in a layout that made effective social distancing difficult and where parts of the camp were filthy[2]. The report concluded that managers at both Penally and Napier lacked the experience and skills to run large-scale communal accommodation, and that Home Office staff were rarely present at either site[1].

On welfare, the report recorded that the vast majority of residents at Penally said they had felt depressed at some points during their stay. Inspectors linked this to the rural location, the dormitory layout, and the absence of specialist mental health support[2]. The Welsh Government written statement of 24 March 2021 cited the same concerns when welcoming the closure[4].

How the Cost Estimate Works

No site-specific Penally Camp running-cost figure has been published by the Home Office. The NAO disclosed a £230 million combined figure for the wider large-sites programme to March 2024, of which Penally was a precursor, but did not break out an individual figure for the six-month Welsh site[5].

The estimate shown in the callout above uses the Migration Observatory's ~£170 per person per night all-in benchmark[6] multiplied by design capacity (234 men) and the number of days in asylum use. That approach captures fixed standby costs (security, MoD lease, utilities, and contractor mobilisation) which continue to be paid whether beds are full or empty, and which the NAO flagged as a structural driver of large-site costs. Because the actual peak headcount recorded by HMIP was 171 rather than 234, the figure is best read as a ceiling “taxpayer exposure” estimate rather than a settled invoice.

Cost in context

Penally benchmark

£170

per night

UK asylum hotel avg

£170

NAO

Hostel bed

£30

commercial

Large-sites programme avg (NAO)

£200

estimate

Legacy

Penally Training Camp was the shortest-lived of the Home Office ex-military asylum sites. It closed within six months under a combination of devolved government opposition, adverse press coverage, and inspection findings that arrived before any operational learning could embed. Its sister site Napier Barracks ran for five years on essentially the same template; the High Court would later find conditions at Napier unlawful in June 2021. Penally is therefore the earliest example of an ex-military asylum site abandoned on the basis of inspectorate findings, setting a pattern that would later recur at RAF Linton-on-Ouse and RAF Scampton.

Sources

  1. An inspection of contingency asylum accommodation: HMIP report on Penally Camp and Napier Barracks Independent Chief Inspector of Borders and Immigration / HM Inspectorate of Prisons, Jul 2021

    Joint HMIP and ICIBI inspection report on Penally Camp and Napier Barracks. Found fundamental failures of leadership and planning by the Home Office and concluded that conditions at both sites were impoverished, run-down and unsuitable for long-term accommodation.

  2. Fundamental failures at Penally camp says full report ITV News Wales, Apr 2021

    Reports the full HMIP and ICIBI report finding fundamental failures of leadership and planning at Penally Camp. Notes 171 residents at peak, cramped conditions, and that the vast majority of residents reported having felt depressed during their time at the site.

  3. Controversial Penally asylum seeker camp to shut, MP confirms ITV News Wales, Mar 2021

    Confirms the Home Office decision to close Penally Training Camp on 21 March 2021, with the site to be returned to the Ministry of Defence following weeks of discussions led by Welsh Secretary Simon Hart.

  4. Written Statement: Penally asylum accommodation - March update Welsh Government (Jane Hutt MS, Deputy Minister and Chief Whip), Mar 2021

    Welsh Government welcomes the Home Office decision not to extend the use of Penally camp for asylum accommodation, citing concerns about the rural location, lack of specialist support, and inadequate Covid-19 compliance.

  5. Alternative asylum accommodation will cost more than hotels National Audit Office, Mar 2024

    NAO finding that the Home Office expects to spend £1.2 billion on its large-sites programme and had already spent at least £230 million by March 2024 developing four large sites (Bibby Stockholm, RAF Scampton, RAF Wethersfield and former student accommodation in Huddersfield); concludes large-scale sites will cost more than hotels and deliver fewer places than planned.

  6. 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.

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