Council Spending on Temporary Housing Soars to Record £1 Billion

Newly released figures from the government reveal that local authorities across England have been compelled to spend a staggering £1 billion on temporary accommodation for homeless households over the past year. This represents a significant increase, with councils now facing over 50% higher costs compared to the previous year. The data also shows that £417 million was allocated specifically to hostel and bed & breakfast accommodation, which alone marks a 63% increase from the previous year's spending levels.

The escalating financial burden on local councils comes amid a broader rise in homelessness rates, with Shelter reporting that the total cost of homelessness has doubled in the last five years, reaching £2.3 billion. The government data can be reviewed in detail on their official website here.

Shelter's Response: A Call for Lasting Solutions

The new figures have sparked a critical response from housing charity Shelter. Polly Neate, Chief Executive of Shelter, attributed the increase in spending to a "decades-long failure" to build enough social housing, coupled with soaring rents and rising rates of eviction. Neate painted a stark picture of the current situation, noting:

“Too many children are being forced to grow up homeless in grotty, cramped hostels and B&Bs, sharing beds with their siblings, with no place to play or do their homework."

Shelter has called for a fundamental shift in government policy away from costly temporary measures. Neate urged the government to "invest in genuinely affordable social homes and support councils so they can start building them," arguing that only a long-term solution would address the systemic causes of homelessness.

Kerry Booth, Chief Executive, Rural Services Network

"Homelessness is a growing concern in rural areas, where the scarcity of affordable homes and limited access to services compounds the challenges faced by vulnerable households. A national strategy must consider the specific needs of rural communities and local authorities to provide them with sufficient resources. As local authorities struggle with increasing costs, a coordinated national approach is urgently needed to address homelessness effectively."

For more information on the government’s latest data and the financial challenges faced by local authorities, visit the official statistics page.

The RSN is part of the Rural Homelessness Counts coalition, a collaborative initiative dedicated to addressing the hidden crisis of rural homelessness in England. 

You can find out more about the Coalition at this link:
https://englishrural.org.uk/about-us/research/rural-homelessness-counts-coalition/

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