Hotel tycoon dubbed the 'Asylum King' rakes in nearly £100,000 a day while his chain makes pre-tax profit of £33.4 million after scoring lucrative contracts to house migrants

  • Britannia Hotels is understood to have reported a profit of nearly £100K per day
  • The hotel chain is estimated to house one in 10 people seeking asylum in the UK 

A hotel tycoon whose business received lucrative contracts to host migrants who crossed the English Channel in small boats enjoyed record profits over the last year, it has emerged. 

Britannia Hotels is estimated to house one in 10 people seeking asylum in the UK and has reported a profit of nearly £100,000 per day, according to The Telegraph.

The firm reported a pre-tax profit of £33.4million in the year to March 2022. It is understood that this is Britannia's best return since owner Alex Langsam founded the company in the 1970s. 

The company's record profits come as the UK Government is struggling to fulfil Rishi Sunak's pledge to 'stop the boats' and combat illegal immigration.

More than 10,000 people have been detected crossing the channel in small boats so far this year, after a jump in arrivals in recent days, figures show. 

Home Secretary Suella Braverman held talks with her French counterpart in London last week and insisted the countries are working in 'lockstep' to stop boats from entering the UK illegally.

Britannia Hotels is estimated to house one in 10 people seeking asylum in the UK and has reported a profit of nearly £100,000 per day

Britannia Hotels is estimated to house one in 10 people seeking asylum in the UK and has reported a profit of nearly £100,000 per day

The firm reported a pre-tax profit of £33.4million in the year to March 2022. It is understood that this is Britannia's best return since owner Alex Langsam (pictured) founded the company in the 1970s

The firm reported a pre-tax profit of £33.4million in the year to March 2022. It is understood that this is Britannia's best return since owner Alex Langsam (pictured) founded the company in the 1970s

Britannia Hotels was reportedly handed a lucrative contract to house migrants at its 60 hotels - 17 of which have been block-booked by the Government. Migrants are pictured outside the Britannia Hotel in Standish, near Wigan, in 2015

Britannia Hotels was reportedly handed a lucrative contract to house migrants at its 60 hotels - 17 of which have been block-booked by the Government. Migrants are pictured outside the Britannia Hotel in Standish, near Wigan, in 2015

Britannia Hotels was reportedly handed a lucrative contract to house migrants at its 60 hotels - 17 of which have been block-booked by the Government.

Despite being named the worst hotel chain for ten years running, according to a survey conducted by consumer group Which, Britannia had a turnover of $118million for the year ending March 31, 2022.

The firm reportedly beat its previous record high pre-tax profit of £33.3million, which had been generated in 2016.

Documents filed by the firm and reviewed by the newspaper stated: 'This result represents a return to performance levels comparative to pre-Covi 19 achieved during a period of difficult trading conditions which continues to limit opportunities for growth.'

MailOnline has approached Britannia Hotels for comment. 

News of the company's apparent financial success comes as Ms Braverman met with French interior minister Gerald Darmanin last week. 

Mr Darmanin has been a critic of the UK, repeatedly declaring that France will not be 'held hostage' by domestic British politics as prime minister after prime minister struggled to slow the flow of migrants in dinghies crossing the Channel.

Some 486 people made the crossing of the channel on Friday, with a further 374 on Saturday. The provisional total for 2023 now stands at 10,139, according to the latest data from the Home Office. There were 45,755 crossings in 2022 

But Ms Braverman claimed the two countries are the 'firmest of friends' and working 'hand in hand' on counter-terrorism, state threats and 'to preserve our joint security'.

She said on Thursday: 'Our cooperation goes from strength to strength, and we are firmly committed to working together in lockstep on our shared global challenges, including stopping the boats', adding: 'The United Kingdom and France are the firmest of friends'.

It came after the Home Secretary indicated the Government's target to cut the asylum backlog will not be met at current rates.

Mr Sunak pledged in December that 92,000 'legacy' claims which were lodged before June 28 last year would be 'abolished' by the end of 2023.

Some 486 people made the crossing of the channel on Friday, with a further 374 on Saturday.

The provisional total for 2023 now stands at 10,139, according to the latest data from the Home Office. There were 45,755 crossings in 2022.

Crossings have picked up after a quiet spell earlier this month, with 2,529 people reported to have arrived between June 10 and 17.

Migrants are escorted ashore from a UK Border Force vessel in Dover today

Migrants are escorted ashore from a UK Border Force vessel in Dover today

Border Force officials escort 60 migrants into Dover Docks, Kent today

Border Force officials escort 60 migrants into Dover Docks, Kent today 

Crossings have picked up after a quiet spell earlier this month, with 2,529 people reported to have arrived between June 10 and 17. Migrants are pictured arriving in Dover today

Crossings have picked up after a quiet spell earlier this month, with 2,529 people reported to have arrived between June 10 and 17. Migrants are pictured arriving in Dover today

The total number of crossings so far this year remains below the equivalent number at this point last year, data indicates. Migrants are pictured in Dover today

The total number of crossings so far this year remains below the equivalent number at this point last year, data indicates. Migrants are pictured in Dover today

This includes 549 crossings on Sunday June 11, the highest number on a single day so far this year.

Seven boats were detected on Saturday, which suggests an average of around 53 people crossed the Channel per boat.

The total number of crossings so far this year remains below the equivalent number at this point last year.

More than 11,300 crossings had been detected by June 17 2022 - over 1,000 higher than the 10,139 detected so far in 2023.

Mr Sunak has made stopping crossings by small boats one of his top priorities for the year, along with cutting NHS waiting lists, growing the economy, halving inflation and reducing the national debt.

Shadow home secretary Yvette Cooper said: 'These figures show the dismal failure of all the Prime Minister's boasts of progress on small boats, and follow a week of damning official reports on the surging backlog, spiralling hotel costs and failing border security.

'Rishi Sunak's small boats plan is disintegrating before the public's eyes, and he has no idea of how to turn it around.

Home Secretary Suella Braverman held talks with Gerald Darmanin, her French counterpart in London, last week and insisted the countries are working in 'lockstep' to stop boats from entering the UK illegally. Ms Braverman and Mr Darmanin are pictured together on Thursday

Home Secretary Suella Braverman held talks with Gerald Darmanin, her French counterpart in London, last week and insisted the countries are working in 'lockstep' to stop boats from entering the UK illegally. Ms Braverman and Mr Darmanin are pictured together on Thursday

'Labour has a serious plan to fix the Tories small boats chaos, fast-tracking safe countries' cases to clear the backlog and end hotel use and setting up a cross-border police unit to stop people smuggler gangs.'

A Home Office spokesperson said: 'The unacceptable number of people risking their lives by making these dangerous crossings is placing an unprecedented strain on our asylum system.

'Our priority is to stop the boats, and our Small Boats Operational Command is working alongside our French partners and other agencies to disrupt the people smugglers.

'The Government has gone further by introducing legislation which will ensure that those people arriving in the UK illegally are detained and promptly removed to their country of origin or a safe third country.'