Wandsworth Council has adopted a new policy to house homeless individuals and families in the private rented sector, aiming to reduce reliance on temporary accommodation and generate significant cost savings. The Private Rented Sector Offer (PRSO) Policy, approved by the Cabinet on Wednesday, July 29, 2026, provides a framework for using private rented properties to fulfill the council's main housing duty to homeless households. This move is part of a broader homelessness transformation programme designed to prevent homelessness, shorten stays in temporary accommodation, and improve resident outcomes.
The PRSO Policy is recommended to be adopted and implemented with immediate effect. Once implemented, it is anticipated that the council could achieve a net annual saving of £650,000 in the first year by reducing temporary accommodation costs. The council anticipates achieving top-quartile performance among London local authorities in discharging duties, with an estimated 93 closed cases per year, leading to a full-year saving of £1.3 million in temporary accommodation costs.
Councillor Matthew Corner, Cabinet Member for Housing, stated that the council is spending nearly £40 million annually on temporary accommodation, with about three-quarters of that sum going towards nightly accommodation. He described this situation as a huge proportion
and terrible
for those housed in bed and breakfasts.
The PRSO Policy includes safeguards to ensure offers are suitable and affordable, considering factors such as property size, health needs, and access to services. The suitability and affordability of private rented properties will be determined on a case-by-case basis, considering individual circumstances. This includes assessing whether the offer is of an appropriate size, addresses any health or mobility needs, and considers access to schools, employment, transport, services, and support networks. Affordability will be assessed based on the household's income and expenditure, taking into account the Local Housing Allowance and their current and likely future circumstances. For offers made outside of Wandsworth, practical support may be offered to help households settle into a new area, and the council will ensure that key services or facilities are available within a 'reasonable distance' and that steps are taken to ensure these are accessible to the household.
Before an offer of private rented sector accommodation is made, the council will check that the property is suitable and that the landlord and tenancy arrangements meet the required standard. The council works with letting agents and landlords to find private rented accommodation for homeless households, verifying tenancies, checking property conditions, ensuring landlords are 'fit and proper', helping to sustain tenancies, and ensuring minimum standard repairs and safety requirements are met.
An Equality Impact and Needs Assessment (EINA) has been conducted, indicating that with applied mitigating actions, there will be no adverse impact in implementing the Policy. The assessment highlights that the policy is expected to have a positive impact across households experiencing homelessness, particularly for groups overrepresented in homelessness. Offers are subject to a robust suitability assessment, and applicants retain the statutory right to request a review of the suitability of the accommodation offered. The EINA also identifies potential negative impacts and outlines mitigating actions, such as considering safety, confidentiality, and support needs, especially in cases of domestic abuse, and ensuring access to appropriate health and support networks. The policy also recognizes that the private rented sector may not be suitable in all cases.
The Private Rented Sector Offer Policy aims to provide a 'settled' and 'suitable' home, which will help improve people's life chances and allow them to move more quickly into settled accommodation, ending their homelessness. The policy is expected to provide greater security of tenure due to recent changes in the private rented sector, meaning tenants can expect a more settled option of accommodation without the fear of 'no fault evictions'.
Applicants retain the statutory right to request a review of the suitability of the accommodation offered. If the review overturns the PRSO, a new offer will be made. If the review upholds the original decision, the main housing duty will be discharged. The policy also mentions that the council will work with landlords and agents to help sustain tenancies, especially if there is a risk of homelessness.
This policy aligns with recent changes to the private rented sector through the Renters Rights Act, which offers tenants greater security of tenure.
Read the full public reports pack for the Cabinet meeting on July 29, 2026.
