A new report revealed that Lewisham Council spent £16m in three years on temporary accommodation for homeless residents, as rising demand has left local authorities scrambling to meet the needs of vulnerable families and individuals.
The council has resorted to using hotels as a temporary measure, raising concerns about the long-term sustainability of this approach.
According to the council, the £16m figure encompasses not only hotels but all types of “nightly-paid” accommodation used to shelter homeless residents.
“Hotels are very much the last resort, as we use our own hostels and other temporary accommodation in the first instance, followed by various options of nightly-paid accommodation in the private sector, such as bed and breakfasts (B&Bs),” the council said in a statement to Eastlondonlines.
According to the council, more than 2,900 families and individuals are currently housed in temporary accommodation, with an additional 11,000 households on the housing register awaiting permanent housing.
“Like the rest of London, Lewisham is facing a housing crisis and we are seeing more and more people come to us for housing support,” the council stated.
“As a local authority, we have a responsibility to ensure that any family facing homelessness is provided with accommodation. We always look to minimise the use of nightly-paid accommodation, as we recognise the challenges it poses for families as well as the high cost to us.”
Though providing hotel accommodation may prevent people from becoming street homeless, critics say it presents a host of issues for the families involved. Hotels, designed for short stays, are unsuitable for extended living. Families often lack access to kitchens, communal spaces, or areas for children to play.
Jessica, a mother of two, who was housed in a hotel for six months, described the experience as “incredibly isolating and stressful.” She explained how living in a single room, without basic amenities, made it feel like her family was constantly in limbo. “My kids didn’t have space to play, and it felt like we were living out of suitcases. It wasn’t home.”
The council’s reliance on nightly-paid accommodation has also drawn criticism due to its cost. Advocacy groups argue that the millions spent on temporary housing could be better directed towards long-term solutions, such as building affordable homes or implementing programs to support those in need of stable housing.
“Hotel accommodation should be a last resort,” said a spokesperson from Shelter, a leading housing charity. “The funds spent on temporary solutions could be much more effectively used in long-term investments that would provide families with the stability and security they need.”
Skyrocketing rents, a lack of affordable housing, and the gentrification of once-affordable areas have pushed many into homelessness.
Lewisham, like other London boroughs, has been severely impacted by high rents and house prices, with a growing number of residents unable to find housing that is affordable or secure.
The council has launched initiatives to address the crisis, including a buyback scheme to repurchase homes sold under the Right to Buy policy and offering long-term leases to private landlords. But these efforts have yet to fully meet the demand.
The council has also pledged to building new homes, both for temporary accommodation and for permanent housing – but timelines are unlikely to respond to immediate need.
