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£3.5 Billion Plan to Halve Rough Sleeping & B&B Stays

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Ministers have made a commitment to reduce by half the number of individuals compelled to spend nights on the streets and to eliminate the troubling issue of families being stuck in B&Bs. This initiative is part of a new comprehensive homelessness strategy unveiled today, supported by £3.5 billion in funding, aimed at addressing the problem of rough sleeping.

The National Plan to End Homelessness outlines three primary goals to be accomplished by the end of the current parliamentary term – cutting in half the count of persistent rough sleepers, putting an end to the inappropriate use of B&Bs for families, and preventing additional households from slipping into homelessness.

One of the key targets in the strategy is to decrease by half the number of former prisoners who find themselves homeless on their initial night post-release, and to ensure that no eligible individual is discharged onto the streets following a hospital stay.

A previous report by the Daily Mirror revealed that nearly double the number of women are sleeping rough compared to official statistics. With Christmas approaching, the government cautioned that many individuals are confronting the harsh realities of homelessness, whether it be individuals sleeping rough on the streets or children enduring temporary accommodation hardships.

The plan also mentions a commitment made in the recent child poverty strategy to put a stop to the unlawful use of B&Bs for families. As of the most recent data, 2,070 households in England with children were residing in this type of temporary accommodation beyond the stipulated six-week limit as of the end of June.

Housing Secretary Steve Reed stated, “Homelessness is a significant societal challenge as it fundamentally involves people. Families deserve stability, children require a secure environment to grow, and individuals simply seek the dignity of having a place to call home.”

He added, “This strategy has been informed by the voices of those who have experienced homelessness firsthand and the dedicated frontline workers who tirelessly combat it. Through our new strategy, we aim to create a future where homelessness is infrequent, temporary, and not recurring.”

The unveiling of the strategy coincides with a report from housing charity Shelter indicating that 382,618 individuals in England, including 175,025 children, will spend this Christmas without a home. According to Shelter, approximately one in 153 people will be registered as homeless on a given night this year.

Additionally, Shelter reported that the total number of homeless individuals in 2025 was 8% higher than in 2024, with 350,480 people in temporary accommodation, which is considered a form of homelessness. The charity also noted a 20% increase in the number of people sleeping rough on any given night compared to the previous year.

The long-term rough sleeping criteria, as defined by the Centre for Homelessness Impact, involves individuals being seen sleeping rough within the reporting month and in three or more months out of the past 12 months.

To bolster support and enhance services from the voluntary, community, and faith sectors, an additional £37 million in funding has been allocated under the announced measures. Local authorities will receive a boost of £950 million to bolster the provision of high-quality temporary housing, while £30 million will be directed towards preventing the utilization of substandard emergency accommodations.

Homelessness Minister Alison McGovern remarked, “By collaborating with government, local leaders, charities, and communities, we can prevent homelessness and ensure that swift and effective support is available to those facing crises.” She emphasized the financial benefits and life-changing impact of the new strategy.

While housing charities commended certain aspects of the strategy, they emphasized the need for further action, including the unfreezing of housing benefits and a commitment to constructing 90,000 new social rent homes annually for the next decade.

In response to the government’s efforts, Shelter’s CEO Sarah Elliott acknowledged the attention given to the homelessness issue but stressed the urgent need for a plan to transition those currently in temporary accommodation or on the streets into secure housing.

Crisis characterized the strategy as a positive step forward but highlighted areas that require additional attention to address the root causes of homelessness. The charity urged government action on issues such as housing benefit freezes, support for refugees to prevent homelessness, and the allocation of new homes to households in need.

The Big Issue founder, Lord John Bird, expressed support for the government’s preventive measures against homelessness but called for a deeper examination of the systemic factors contributing to housing insecurity.

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