Temporary accommodation
Councils are grappling with significant financial pressures from temporary accommodation while developing strategies to increase supply and reduce reliance.
Several councils are reporting significant financial pressures from temporary accommodation. Brent Council anticipates £38 million expenditure on nightly paid accommodation, forecasting a £9.5 million overspend in the first quarter of 2026-27. Hammersmith and Fulham Council faces a projected £14.3 million overspend for 2026/27, partly due to temporary accommodation, while Redbridge Council forecasts an £8.485 million overspend with pressures in this area. Lewisham Council plans to spend £135 million over three years.
In response, councils are developing strategies to reduce reliance and increase supply. Havering Council's 2026-2029 strategy aims for £11-12 million annual savings by reducing expensive temporary accommodation. Croydon Council plans 1,000 new homes to tackle homelessness and reduce temporary accommodation reliance, submitting a bid to the GLA in September 2026. Waltham Forest Council granted permission in September 2026 for 14 new temporary accommodation units.
Hackney Council's Homelessness and Temporary Accommodation Supply Transformation Programme, with £145 million allocated for 2026/27, faces challenges, including a 29% decrease in homelessness prevention outcomes since 2025/26. Temporary accommodation is housing provided for people who are homeless or at risk of homelessness, typically on a short-term basis. Waltham Forest Council's Shareholder Committee is scheduled to discuss the topic on 6 October 2026.
Key facts
- Brent Council anticipates £38 million expenditure on nightly paid temporary accommodation, forecasting a £9.5 million overspend in Q1 2026-27. Source
- Hammersmith and Fulham Council faces a projected £14.3 million overspend for 2026/27, attributed partly to temporary accommodation. Source
- Lewisham Council is set to spend £135 million on temporary accommodation over the next three years. Source
- Havering Council's new strategy aims for £11-12 million annual savings by reducing reliance on temporary accommodation. Source
- Croydon Council plans to build 1,000 new homes to reduce reliance on temporary accommodation. 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 30 September 2026. Spotted a mistake? Email community@opencouncil.network.