Published: 14th Oct 2019

The government has underestimated the cost of tackling homelessness in the capital, leaving local authorities £200m out of pocket, according to new research. The research carried out by LSE London on behalf of London Councils found that the boroughs spent over £919m on homelessness services in 2017/18, including £201m, which was not covered by central government grants or any other sources of income. The report also warns that if current trends continue, the total cost of London’s homelessness services will increase to over £1 billion a year by 2021/22. And if funding arrangements do not change, the cost to boroughs’ general funds is estimated to rise to £237m by 2022/23 – representing an increasing proportion of boroughs’ total homelessness spending. The report examines the impact of the Homelessness Reduction Act, which came into effect in 2018 and gave all local authorities a statutory duty to prevent homelessness and relieve homelessness. … (To read the full article, subscribe below)