Taxpayer funds spent on empty houses for asylum seekers

Photo of Reykjavík. Empty apartments rented by the Directorate of …

Photo of Reykjavík. Empty apartments rented by the Directorate of Labour are not being utilized, both in the capital and especially in Reykjanesbær. Morgunblaðið/Golli

A significant number of properties rented by the Directorate of Labour for individuals applying for international protection are currently unoccupied, raising concerns about the misuse of public funds.

In response to a parliamentary question from Vilhjálmur Árnason, MP for the Independence Party, Minister of Social Affairs and Housing Inga Sæland confirmed that the Directorate of Labour currently holds leases on 37 properties and 93 hotel rooms designated for asylum applicants. Árnason noted that a large portion of these properties are located in Reykjanesbær and expressed concern over the apparent lack of transparency regarding the duration of the leases.

Unnur Sverrisdóttir, Director General of the Directorate of Labour, stated that the contracts are irrevocable and acknowledged that many of the currently vacant properties cannot be repurposed.

“This is not just a question of misused taxpayer money, but also of the negative impact on the local communities where these empty properties are located,” said Árnason, adding that the situation demands urgent review and accountability.

The issue has fueled broader debate about the management of public resources in relation to housing for asylum seekers, particularly as demand fluctuates and public scrutiny grows over government spending.

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