Question: To ask the Secretary of State for Housing, Communities and Local Government, whether she plans to take steps to support councils in London with temporary accommodation pressures.
Tabled on: 27 February 2025
Answer:
Homelessness levels are far too high, and we are taking the first steps to get back on track to ending homelessness. As announced at the Budget, grant funding for homelessness services is increasing this year by £233 million compared to last year (2024/25). This increased spending will help to prevent rises in the number of families in temporary accommodation and help to prevent rough sleeping. This brings total funding to nearly £1 billion in 2025/26.
This Government has inherited record levels of temporary accommodation, and we recognise the pressure this has put on councils. The government regularly takes a wide range of evidence into account when determining the overall level of funding available for local government services, including expected temporary accommodation pressures in 202/26. The majority of funding provided through the Local Government Finance Settlement is un-ringfenced in recognition that local councils are best placed to understand the needs of their communities. The Government has confirmed there will be over £5 billion additional government grant funding available for local government services in 2025/26, over and above increases to council tax. Of this, over £2 billion is being made available through the Local Government Finance Settlement for 2025/26.
The Government is clear that, in the short-term, we must prioritise eliminating the worst forms of temporary accommodation such as families in Bed and Breakfast (B&B), other than in genuine emergencies. We have also launched Emergency Accommodation Reduction Pilots, backed by £8 million, to work with 20 local councils with the highest use of B&B accommodation for homeless families, including 11 London Boroughs. This will support LAs to move families into more suitable accommodation.
In addition, the £1.25 billion Local Authority Housing Fund will provide capital funding directly to English councils and is expected to around 7,700 homes by 2026. It will create a lasting asset for UK nationals by building a sustainable stock of affordable housing and better-quality temporary accommodation for local communities.
The answer was submitted on 07 Mar 2025 at 08:55.
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