Police attended the scene of the protest.
Demonstrators held placards and banners at the event, which started at 6pm.
The protest took place outside the Chichester Park Hotel at Madgwick Lane, Westhampnett Road, Chichester.
Today’s demonstration coincided with at least a dozen other similar protests across the country.
The news comes after a number of people have been arrested in protests across England outside hotels used to house asylum seekers.
Protests outside the hotels have been taking place in recent weeks.
The Home Office has said the number of hotels being used for asylum seekers has decreased from more than 400 in summer 2023, to less than 210.
It also announced plans to end the use of hotels to house migrants by 2029, which Chancellor Rachel Reeves says will save £1bn a year.
West Sussex County Council said hotels in the county are sometimes used temporarily to house asylum seekers and migrants.
A spokesperson said: “There are a number of facilities across the country, including here in West Sussex, that provide contingency accommodation to both people seeking asylum in the UK and people settling here as refugees. These are sometimes hotels used temporarily when no other safe options are available.
“All contingency accommodation facilities for both asylum seekers and refugees are run by the Government.
“Contingency accommodation for people seeking asylum in the UK is managed by the Home Office.
“Asylum seekers are people who have fled their own country to seek protection in another country by applying for refugee status.
“Contingency accommodation for refugees is managed by the Ministry of Defence.
“Refugees in the UK are people who have left their own country and come here under a government-approved resettlement scheme. These schemes offer a safe and legal route to vulnerable refugees in need of protection.
“Contingency accommodation supports them to do so temporarily while longer-term solutions are found.”
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Demonstrators outside the Park Hotel in Chichester. Picture: Eddie Mitchell Photo: Eddie Mitchell
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Demonstrators outside the Park Hotel in Chichester. Picture: Eddie Mitchell Photo: Eddie Mitchell
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Demonstrators outside the Park Hotel in Chichester. Picture: Eddie Mitchell Photo: Eddie Mitchell
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Demonstrators outside the Park Hotel in Chichester. Picture: Eddie Mitchell Photo: Eddie Mitchell