The United Kingdom’s new Labour government has announced that it will stop housing people seeking asylum in the country on a controversial accommodation barge from next year as it tries to clear a backlog of asylum requests.

The use of the Bibby Stockholm vessel, which can house up to 500 people, began under the Conservative government last year, with the aim of cutting the cost of hotel accommodation for asylum seekers while their claims are processed.

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On Tuesday, the UK’s Home Office, or interior ministry, said use of the barge would end once its contract expires in January.

The Home Office added that extending the use of the Bibby Stockholm would have cost more than 20 million pounds ($26m) next year.

The vessel, anchored off Dorset, became a high-profile symbol of the UK’s tough asylum policy under the Conservatives, with human rights campaigners comparing it to a prison ship and criticising its use as inhumane.

One man died on board last year and a separate water contamination issue forced the government to remove asylum seekers for a number of weeks.

The Labour government’s announcement is part of its efforts to overhaul the UK’s asylum system by resuming the processing of claims for the tens of thousands of migrants it says were left in limbo and at risk of deportation under previous policy.

Since taking office, the new government led by Prime Minister Keir Starmer, has also scrapped the Conservatives’ scheme to send to Rwanda any asylum seeker who arrived in the UK on small boats.

“We are determined to restore order to the asylum system, so that it operates swiftly, firmly and fairly; and ensures the rules are properly enforced,” Minister for Border Security and Asylum Angela Eagle said.

In total, changes to the asylum system would save taxpayers an estimated 7 billion pounds ($9bn) over the next 10 years, Home Secretary Yvette Cooper said on Monday.