A growing national challenge
The scale of the UK’s temporary accommodation crisis continues to rise. As of March 2025, 131,140 households (including 160,050 children) were living in temporary accommodation, a rise of 12% since 2024. In England, almost half (47%) of children in temporary accommodation have been forced to move schools, with one in five moving multiple times. And in London, 1 in every 21 children now live in temporary accommodation, equating to 1 child in every classroom.
It’s this instability that can have far-reaching consequences, with families often moving without notice and placed far from their places of work, school and support networks. In addition, local authorities face escalating costs and communities bear the brunt of the social and economic impact that ongoing displacements have.
Local authorities are also grappling with spiralling temporary accommodation costs. London boroughs were forced to overspend on their homelessness budgets by £330m in 2024-25 (a 60% increase on their original budget plans for the year). Similarly, in England and Wales, councils spent over £2.8bn on temporary accommodation in 2024-25, 25% more than the previous year.
So, whilst the Government works towards its ambition to deliver 1.5 million new homes, there remains an urgent need for a transitional solution that offers families not only safety, but stability and dignity too.