Local Government Finance
The question
To ask the Secretary of State for Housing, Communities and Local Government, what steps he is taking to i) support local authorities in managing temporary accommodation costs and ii) ensure value for money in capital investment programmes.
Answered by Alison McGovern
The government has increased funding for homelessness services to over £1 billion, including a £50 million top up to the Homelessness Prevention Grant announced in December 2025. We are also investing £3.5 billion in homelessness and rough sleeping services over the next three years, through more flexible multi-year funding arrangements that enable councils to invest more in prevention.
We are also providing £950 million capital for the fourth round of the Local Authority Housing Fund - the largest round of the fund to date - to support local authorities in England to increase the supply of better-quality temporary accommodation and to support resettlement.
At Autumn Budget 2025, the Chief Secretary to the Treasury announced he will work across government to improve the value for money of homelessness services and achieve better outcomes so that we can improve the supply of good-value-for-money and good-quality temporary accommodation and supported housing.
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