Temporary Accommodation
Councils are addressing rising costs and demand for temporary accommodation by seeking new supply, implementing cost-saving measures, and reviewing policies.
Councils are actively addressing the provision and cost of temporary accommodation. In November 2026, Lewisham councillors scrutinised proposals for £2 million in annual savings for the homelessness service. Tower Hamlets Council's Cabinet approved acquiring properties in October 2026 to create around 180 new temporary homes. Ealing Council's Cabinet also approved a new policy in October 2026 to standardise placements. Wandsworth Council is implementing 10-year leasing agreements for temporary accommodation to reduce costs, as discussed in October 2026.
Many councils are reporting significant financial pressures. Wandsworth Council forecast a £5.3 million overspend for 2026/27 in October 2026, partly due to rising housing costs. Brent Council anticipates £38 million expenditure on nightly paid accommodation, highlighted in September 2026, while Redbridge Council forecasts an £8.485 million overspend for 2026/27, with pressures in temporary accommodation. Croydon Council plans to build 1,000 new homes to reduce reliance on temporary accommodation, discussed in September 2026.
Temporary accommodation is housing provided by local authorities for people who are homeless or at risk of homelessness. Councils across London are grappling with the financial implications of this provision. For instance, Hammersmith and Fulham Council faces a projected £14.3 million overspend for 2026/27, partly due to temporary accommodation costs, as reported in September 2026.
Key facts
- Lewisham councillors scrutinised proposals for £2 million in annual savings for the homelessness service in November 2026. Source
- Tower Hamlets Council's Cabinet approved acquiring properties in Marsh Wall in October 2026 to create approximately 180 new temporary homes. Source
- Ealing Council's Cabinet approved a new policy in October 2026 to standardise the placement of homeless households in temporary accommodation. Source
- Wandsworth Council is implementing new 10-year leasing agreements for temporary accommodation to reduce costs, as discussed in October 2026. Source
- Wandsworth Council is forecasting a £5.3 million overspend for the 2026/27 financial year, driven by rising housing costs, as detailed in October 2026. Source
About this summary
This summary was written automatically from our published stories and the council meeting records they draw on. It describes what councils have discussed and decided; it does not take a view on any decision. Each key fact links to the story it comes from. Updated 6 November 2026. Spotted a mistake? Email community@opencouncil.network.