Plans to start moving migrants out of hotels and into military bases or even disused ferries are expected to be announced by the government within weeks.
Ministers have already signalled that they want to end the use of hotels as asylum seeker accommodation.
Previous suggestions of using holiday camps and student halls are less likely to be brought into action.
It comes as Tory MPs prepare to mount a rebellion against Rishi Sunak’s illegal immigration bill next week.
A number of senior Tories and former ministers have signed an amendment that would carve out any role for the European Court of Human Rights from the UK process for handling illegal migration.
The change has been put forward by Boris Johnson’s former Political Secretary Danny Kruger and is being supported by a number of MPs including Sir Iain Duncan Smith, Sir John Redwood and Simon Clarke.
The prime minister’s legislation will be scrutinised by the Commons on Monday and Tuesday with newspapers reporting he will be meeting potential rebels in the coming days.
Government sources said an announcement on hotel accommodation is expected within weeks.