29 Acknowledged

We are concerned about councils’ increasing reliance on privately managed, nightly-paid accommodation.

Conclusion
We are concerned about councils’ increasing reliance on privately managed, nightly-paid accommodation. This provision is not merely expensive. The use of nightly-paid accommodation limits councils’ ability to raise standards and offers little stability to households who are at risk of being moved at short notice. (Conclusion, Paragraph 90)
Government Response Summary
The government acknowledges the concern regarding expensive, poor-quality nightly-paid accommodation and states it is considering incentives for local authorities to enter better value, longer-term arrangements as part of a review.
Government Response
Acknowledged
HM Government Acknowledged
We are committed to ensuring that temporary accommodation quality standards are met and that landlords who are providing poor-quality and excessively expensive homes cannot exploit the current crisis. Privately-managed self-contained nightly paid accommodation is now the most common form of temporary accommodation and, while useful and necessary in certain circumstances, is often significantly more expensive and of more variable quality than other options. As part of our work through the Thematic Value for Money Review on homelessness spend that is being led by the Chief Secretary to the Treasury, we are considering what Government can do to incentivise local authorities to enter into better value, longer term arrangements. At local level, local authorities are now required by grant conditions to produce a policy for procuring and allocating sufficient temporary accommodation and ensuring it is suitable. The Government’s Local Performance and Accountability toolkit details how action plans should include a long-term plan for delivering good-quality temporary accommodation to meet anticipated need and, where necessary, how the local authority will reduce reliance on expensive and on poor-quality temporary accommodation, including through an increased focus on prevention, better use of data, planning and stock management, minimisation of voids and move-on into settled accommodation.
Addressee Bodies
Ministry of Housing, Communities and Local Government
Timeline
Recommendation age 0.3 yrs
Report published 22 Apr 2026