Ukrainian Refugees Face Homelessness as UK 'Thank You' Payments End
Ukrainian refugees face homelessness as payments end

Ukrainian refugees who sought sanctuary in Scotland following Russia's invasion now face potential homelessness after the UK government confirmed it will end monthly 'thank you' payments to their hosts.

Payment Cuts Spark Homelessness Fears

Around 28,000 Ukrainian refugees - predominantly women and children - have found safety in Scotland since Vladimir Putin's forces invaded Ukraine in February 2022. The previous Conservative government established the Homes for Ukraine scheme, offering British families £500 per month as a thank you for providing accommodation to those fleeing the conflict.

The new Labour administration has now confirmed it will terminate the grant, currently standing at £350 per month. This decision has raised serious concerns that many hosts will be forced to ask their Ukrainian guests to leave, potentially creating a wave of homelessness applications across Scotland.

Council Warnings and Political Backlash

Scottish Conservative housing spokeswoman Meghan Gallacher described the move as 'short-sighted and callous', highlighting the impossible position facing both hosts and refugees. Local authorities administering the scheme have expressed alarm about the potential impact on already overstretched housing and homelessness services.

One Scottish host revealed to the Mail on Sunday: 'We received a letter from the council asking what we thought of the thank you payments ending. They asked if we would require our guest to leave, which we would never do. But others may not be so lucky.'

Visa Changes and Ongoing Uncertainty

The Ukraine family scheme, launched in March 2022, allowed refugees with relatives holding British citizenship or indefinite leave to remain to move to the UK for three years. Simultaneously, the Homes for Ukraine sponsorship scheme provided three-year visas to Ukrainians with suitable accommodation sponsors.

While the family scheme closed in February 2024, the Homes for Ukraine programme remains open but with reduced 18-month visas. The Ukraine permission extension scheme began the same month, offering an 18-month extension to existing visas. However, concerns are growing about what will happen when these extensions expire, particularly as Ukraine remains a dangerous war zone.

A spokesperson for the Convention of Scottish Local Authorities stated: 'COSLA is aware that local authorities across the UK have been raising concerns about the UK Government's decision to discontinue Thank You Payments. We will continue to raise these concerns with UK Government.'

The Scottish Government confirmed it is lobbying Westminster to continue financial support, while the Ministry of Housing, Communities and Local Government maintained that 'guests and sponsors were told last year that payments would only last for 18 months', giving people adequate time to plan.