They found that immigrants were likely to lead to longer waiting times at GP surgeries, be involved in anti-social behaviour and create pest control issues because of overcrowding.
Mark Harper, the immigration minister, said: “This report highlights the significant impact high levels of migration have had on UK communities.
"It emphasises the importance of protecting our public services and taking a robust approach against those who come here to exploit our welfare system.
"If we do not implement the proper controls, communities can be damaged, resources will be stretched and the benefits that immigration can bring are lost or forgotten.”
More than 2.2million people from the EU and 2.4million from outside the EU live and work in Britain.
The Home Office study found that half of people in England and Wales live in an area hit by high levels of migration.
The report found that while most immigrants were based in London and the South East, they had the biggest impact on industrial towns with high levels of unemployment such as Rotherham and Oldham.
The researchers surveyed 80 local authorities and service providers on a variety of issues such as health, housing and social cohesion. Their responses were assessed by a panel of 12 experts.
They found that asylum seekers were likely to put the greatest strain on the health system.
Researchers found they are more likely to suffer from depression, anxiety and mental illness, while immigrants in general were more likely to suffer from tuberculosis, HIV and and Hepatitis B.
Some local authorities said that destitute migrants and asylum seekers were "disproportionately involved in crimes like shoplifting and disorderly behaviour".
Most local authorities said that low-skilled migrant workers were seen as having a "positive" effect on the local economy, particularly when they did "hard to fill jobs".
Voice of Russia, The Telegraph