New Funding and Local Innovations Tackle UK's Growing Homelessness Challenge

General By HHS Group Published on 18/06/2025

The UK government has significantly increased funding to combat the homelessness crisis, boosting the Winter Pressures Fund to £60 million. This comes as local councils across the country implement diverse strategies, from emergency financial aid and new housing initiatives to innovative support services, aiming to prevent evictions and provide vital assistance to those experiencing or at risk of homelessness.

Government Boosts Homelessness Funding

The UK government has announced a substantial increase in funding to tackle homelessness and rough sleeping, bringing the total Winter Pressures Funding to £60 million for this year. An additional £30 million in emergency support is specifically allocated to 295 high-risk areas to help councils prevent evictions and secure accommodation. This builds on a nearly £1 billion investment in homelessness prevention services and a £5 billion commitment to housing this year, including an £800 million top-up for the Affordable Homes Programme.

  • Key Takeaways:
  • £60 million total Winter Pressures Funding.
  • £30 million emergency support for 295 high-risk areas.
  • Focus on early intervention to prevent evictions.
  • Part of a broader £1 billion investment in prevention and £5 billion in housing.
  • Renters' Rights Bill aims to abolish 'no fault' evictions.

Local Councils Lead Innovative Responses

Local authorities are at the forefront of addressing the crisis, despite facing significant financial pressures.

  • London Boroughs: London Councils estimate a £330 million overspend on homelessness budgets for 2024-25, with 183,000 residents currently in temporary accommodation. They warn that the housing crisis threatens to bankrupt boroughs, calling for increased government support and investment in affordable housing.
  • Blackpool: The town has received a £2.86 million government grant, an increase of £875,000 from last year, to combat a homelessness rate more than double the national average. The funding will support prevention efforts and services like drug and alcohol dependency treatment.
  • Barking and Dagenham: In a UK first, the East London council, in partnership with ShowerBox and Barking Churches Unite, has opened a permanent, purpose-built shower facility for homeless individuals. Located at Barking Learning Centre, it offers hot showers, underwear, respite, and refreshments, addressing critical sanitation needs.
  • Peterborough: The city council is focusing on prevention, with a 68% reduction in households in temporary accommodation since December. A partnership with Cross Keys Homes has already delivered 1,278 affordable homes since 2023, exceeding targets. Community hubs and an "Off the Streets Accommodation" scheme are also providing vital support.

Towards Long-Term Solutions

The government's "Plan for Change" aims to deliver the biggest increase in tenant protections and affordable housing in decades. The Deputy Prime Minister's Inter-Ministerial Group is developing a long-term strategy to tackle the root causes of rough sleeping.

London Councils are advocating for:

  • Ending the 14-year freeze on temporary accommodation housing benefit subsidy.
  • Making the increase in Local Housing Allowance rates permanent and linked to inflation.
  • A comprehensive national cross-departmental strategy to reduce homelessness.
  • Boosting long-term grant funding for affordable housing.

These combined efforts from national government and local councils highlight a concerted push to alleviate the homelessness crisis, focusing on both immediate relief and sustainable, long-term prevention strategies.

Sources


Homelesshostelstaff.co.uk - Concierges, Security and Support Staff for Homeless Hostels and Supported Accommodations