Source · Select Committees · Housing, Communities and Local Government Committee
Recommendation 20
20
Acknowledged
Ringfencing of Homelessness Prevention Grant funding may detrimentally impact some local authorities.
Conclusion
We welcome the Government’s decision to increase homelessness funding for 2025/26, including the £192.9 million uplift to the Homelessness Prevention Grant (HPG). However, the decision to ringfence 49% of HPG funding for activities to prevent and relieve homelessness may be a detrimental, one-size-fits-all approach towards the pressures facing some local authorities. The ringfence may leave a gap in the funding of those councils which rely heavily on the HPG to fund temporary accommodation, at a time when local authorities are facing acute financial pressures. (Conclusion, Paragraph 87)
Government response summary AI-generated
The government defended the 49% ringfence on the Homelessness Prevention Grant (HPG), explaining it was based on historical local authority spend and stating the HPG was not intended to cover all temporary accommodation costs, but committed to monitoring local authority spend.
Government Response
The government responded to this report on 16 June 2025. No passage in that response could be matched to this conclusion. Read the response document ↗