Select committee: Housing, Communities and Local Government Committee

Conclusion 25

5th Report - Housing Conditions in Temporary Accommodation Published 22 Apr 2026 Addressed to Ministry of Housing, Communities and Local Government
Conclusion (the committee's words)
The rules that determine the amount of money councils can claim through the Housing Benefit subsidy system is restricting their ability to source good-quality temporary accommodation for households. The Department for Work and Pension’s ongoing freeze of the subsidy rates is putting an enormous financial strain on councils. The freeze in subsidy rates limits the range of affordable options available to councils and acts as a disincentive 65 for them to enter longer-term leases that could strengthen their ability to raise standards, due to the risk of being exposed to large costs on their general funds. Within a financially constrained environment, we are also concerned that the rates reimbursed for different types of accommodation create an incentive for councils to place households in accommodation with support they may not need. (Conclusion, Paragraph 81)

From: Housing, Communities and Local Government Committee, 5th Report - Housing Conditions in Temporary Accommodation (HC 1831), 22 April 2026

Government response

The government responded to the whole report on 24 June 2026 (deadline 22 June 2026).

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