Hundreds of asylum seekers have been removed from an accommodation barge moored off the Dorset coast ahead of decisions about their future in the UK.

Migrants are being transferred from the Bibby Stockholm and into hotels across the country, with reports suggesting between 300 and 400 will be moved.

Once in temporary accommodation they will be told if they can remain in the UK.

The Government is clearing migrants from the vessel before the contract for its use expires in January.

Labour has said it would not renew use of the Bibby – which is moored off Portland – beyond that date as the Home Office expects demand for such accommodation to be reduced by moves to clear the asylum backlog.

The vessel was one of several sites, including RAF Wethersfield in Essex and RAF Scampton in Lincolnshire, used by the previous Tory government in a bid to cut the cost of housing migrants in hotels.

But Labour has said continuing the use of the Bibby Stockholm would have cost more than £20 million next year, and that scrapping it forms part of the expected £7.7 billion of savings in asylum costs over the next 10 years.

The asylum seekers accommodated on the barge, who are all men, are being dispersed to accommodation in places including Cardiff, Wolverhampton and Bristol, according to the BBC.

None of them will be moved to the Dorset Council catchment, which includes the area around Portland and Weymouth.

A Home Office spokesperson said: “This Government inherited an asylum system under unprecedented strain, with thousands stuck in a backlog without their claims processed.

“We have taken immediate action to restart asylum processing which will save an estimated £7 billion for the taxpayer over the next 10 years, and are delivering a major uplift in returns to remove people with no right to be in the UK. Over the long term this will reduce our reliance on hotels and costs of accommodation.

“We remain absolutely committed to ending the use of hotels for asylum seekers.”