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COUNCIL spending on temporary accommodation has tripled in the last eight years, according to a new analysis by the Local Government Association.
The LGA’s analysis of revenue account data showed that spending on emergency accommodation has spiralled from £315 million to 2015-16 to £1.048 billion in 2023-24
Research by Generation Rent found that some councils were spending 50 per cent of their core budgets on temporary accommodation, while the number relying on it had risen by 89 per cent over the past decade.
According to the LGA, there are currently 113,000 households in temporary accommodation.
With the costs eating up budgets, councils have less money to spend on early homelessness prevention, and “move on” accommodation that helps rough sleepers transition from hostels into independent accommodation.
The LGA is calling for investment in social housing, a ban on Section 21 evictions, and the reform of the Right to Buy scheme, so that any social housing that is sold off is replaced with new social homes.
LGA spokesperson Cllr Claire Holland said that councils should also be “given the powers and resources to build affordable homes their communities need so they can resume their historic role as a major builder of affordable homes.”
Jae Vail of the London Renters Union said: “Councils are forced to pour more and more public money into the pockets of these private accommodation providers who too often leave tenants in downright unsafe conditions.
“As a result, ordinary people across our communities face the prospect of cuts to their local services as councils struggle to keep up.”
They urged the next government to invest in social housing and introduce rent controls instead of “handing more public money over to private interests.”
Generation Rent campaigns and partnerships officer Tilly Smith said it is a “matter of urgency” that the next government makes building affordable and social homes a priority.
"It is also vital that people are able to remain safely in their homes, protected from evictions and homelessness. Specifically, private renters need to be protected from unfair evictions such as Section 21 ‘no-fault’ evictions and evictions caused by unaffordable rent rises.”
