Temporary accommodation, permanent shame

Originally written as a column for Inside Housing.

Everywhere you look in the latest homelessness statistics, the scale of the crisis facing homeless families and local councils alike stares back at you.

The total number of homeless households in temporary accommodation (which can mean anything but) went past the record highs of the mid-2000s earlier this year and rose to another record of 105,750 in the 12 months to the end of June.

That’s up 1.2 per cent on the previous three months ago and 10.5 per cent on last year. The total included 68,070 families with 138,930 children (another record).

These figures are stark enough at a national level but in the worst-affected local authority, Newham, 50.2 out of every 1,000 households in Newham were in temporary accommodation.

But drill down further and the really shocking increases are in the numbers stuck at the most miserable end of the TA crisis in bed and breakfast hotels.

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State of the housing nation

Originally written as a column for Inside Housing.

So where next? The publication of the UK Housing Review this week is a chance to take stock and ask where the housing system may be heading.

The sense is one of considerable flux, for home ownership as the housing market downturn continues, for private renting as the momentum behind increased regulation grows and for social housing as landlords face competing demands for scarce resources.

The paralysis of policy signalled by a Budget that mostly ignored housing could be just a temporary lull ahead of a UK general election.

As ever, the review puts all that into context. For starters, John Perry’s chapter on housing expenditure shows where total government support (in grants, loans and guarantees) for housing is going. The balance between the private market (59 per cent) and affordable housing (41 per cent) may not be quite as skewed as it was in the heyday of Help to Buy but it is still tilted in one direction.

The good news is that public spending on affordable homes has risen in real terms since the dark days of the coalition government. Investment under three Affordable Homes Programmes is set to peak this year – but the looming cliff edge is an indication of the big decisions that lie ahead:

Current spending plans (as in the Budget) rely on eye-watering (and unrealistic) austerity after the next election so that they comply with the chancellor’s fiscal rules. Key decisions lie ahead in the spending review after the next election regardless of who wins.

What is getting built is also skewed. There were 59,175 affordable housing completions in England in 2021/22, the highest for 11 years. However, more than 20,000 of those were for affordable home ownership and 28,000 for affordable rent, leaving just 7,528 for social rent (plus another 3,080 for similar London Affordable Rent).

Contrast that with Scotland, which managed 9,757 affordable completions in 2021/22 including almost as many social rent homes (7,306) despite having a population about a tenth of England’s.

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The state of the (housing) nation

Originally written as a column for Inside Housing.

The UK Housing Review Autumn Briefing Paper is published this week and as usual provides an invaluable guide to the state of the housing nation. Here are five graphs that illustrate key points about five different parts  of the housing system:

Shifting rules on rents

What everyone wants to know, of course, is what will come in place of that purple line on the right but the graph is a reminder that so-called long-term deals on social housing rents can quickly disappear. The four-year rent reduction at the end of the 2020s that ended the previous one is now set to be succeeded by an annual increase significantly below the 11.1 per cent implied by the CPI plus 1 formula.

The decision is finely balanced between cost of living considerations and housing investment, with the existence of housing benefit making it much more complex than it was in the famous case of Clay Cross 50 years ago.   

The Briefing Paper quotes estimates by Savills that a 5 per cent cap on rents in England (the government’s favoured option) would cost councils £500 million and housing associations up to £1 billion. One association says that even a 7 per cent cap would mean a 21 per cent reduction in new build and there are also major concerns about the impact on investment in existing stock and on supported housing.

A cap would help tenants not on housing benefit but the major beneficiary would be the Department for Work and Pensions unless its savings are reinvested in housing.

That point was really brought home to me when I interviewed the Welsh housing minister recently. She was only too aware that the more she restricts next year’s rent increase, as might be her instinct, the more savings will go straight back to Westminster, with zero chance of them coming back to Wales.

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Wake-up call

Originally published on December 15 on my blog for Inside Housing

If 2016 proves to be the year that the government finally woke up to the homelessness crisis, official figures released on Thursday show its true scale.

The latest statistics from the Department for Communities and Local Government show 14,930 households were accepted as homeless in the June to September quarter. The good news is that this is down 1% on the previous three months. The bad news is that it’s up 2% on 2015 and 45% on 2010.

Remember this is only the most visible part of the crisis – the families who are accepted as homeless and in priority need by local authorities – and that it is just the start of a wait for permanent accommodation.

That wait goes on for those already accepted as homeless. The figures also show that 74,630 households, including 117,520 children, were in temporary accommodation at the end of September. That’s up 9% on 2015 and 45% on 2010.

And the increases are greatest in the worst and least permanent forms of temporary accommodation. There were 6,680 households in bed and breakfasts, including 3,390 families with children: up 13% on 2015 and more than five times the figure in 2010.

Most shockingly of all, there were 1,300 families with children who had been in bed and breakfasts for more than the six-week legal limit. That’s up 24% on the same quarter in 2015 and is an incredible 13 times higher than in the quarter before the election of the coalition government in 2010.

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Ten steps to a housing crisis

Originally posted on October 14 on Inside Edge 2, my blog for Inside Housing

How does somewhere that was built to solve the housing shortage end up being in the middle of one?

The place in question is Peterborough in Cambridgshire but events there in the last month resonate well beyond the city. Seen admittedly from the outside, this is the UK housing crisis in ten steps.

1) Build a new town

Peterborough was designated as a new town in 1967 to accommodate population overspill from London. Four new townships were added to what was already a Cathedral city, boosting the population from 83,000 to 190,000 over the last 40 years. The key, according to the former head of the development corporation Wyndham Thomas, was the acquisition of land at existing use values with debt repaid from finance generated by increased land values.

2) Watch the population grow

Housebuilding has failed to keep pace with a rising population in the south and east of England in general. In the case of Peterborough in particular add high levels of immigration. Cities Outlook 16, the regular survey by the Centre for Cities, shows that Peterborough was the third fastest-growing city in the UK for population with an annual growth rate of 1.5% a year between 2004 and 2014. The housing stock grew by the fourth fastest rate in the country between 2013 and 2014 but the rate was 1.1%.

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The furious commitment of Chris Holmes

Originally posted on December 21 on Inside Edge 2, my blog for Inside Housing

When Chris Holmes died this time last year we lost one of our most passionate advocates for better housing and against homelessness

A collection of essays in his memory published today reflects on an extraordinary career that spanned the voluntary sector, local government, housing associations, co-operatives and community activism as well as roles advising central government and on housing commissions. That combination of campaigning, policy, politics and practice is rare enough in any career but the essays also reveal a bigger story (much of it new to me) about what can be achieved with the right mix of principles, purpose and pragmatism. ‘Furious commitment’ is what Jeremy Swain calls this ability to go beyond outrage and get things done.

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Under pressure

The latest homelessness figures confirm some disturbing trends over the last five years in why people lose their home and what happens to them once they get help.

The statistics for England published by the DCLG on Wednesday run up to the end of 2014/15 and so allow the record the coalition to be assessed for the first time. The headline measure of households accepted as homeless (unintentionally homeless and in priority need) rose 36 per cent between 2009/10 (the year before the coalition took power) and 2014/15 to 54,000.

But this figure is heavily influenced by other government policies, not just the coalition’s reforms of the system but the last Labour government’s too. For example, the acceptances figure was more than double what it is now in the early 2000s, before prevention and options approaches were widely adopted by local authorities.

As the UK Housing Review briefing pointed out on Monday, combined acceptances and prevention cases (not published yet) are likely to top 300,000 in 2014/15 compared to just over 200,000 in 2009/10. And even these figures take no account of hidden homelessness, whether it’s overcrowding or concealed households or single people and childless couples who do not have priority or rough sleeping.

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