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Sheffield Council to consult on five-year temporary accommodation policy

Sheffield City Council is to consult on a new five-year temporary accommodation strategy as it seeks to end B&B placements and rein in losses due to housing benefit subsidy rules.

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Sheffield Town Hall
Sheffield Town Hall (picture: Google Street View)
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LinkedIn IHSheffield City Council is to consult on a new five-year temporary accommodation strategy as it seeks to end B&B placements and rein in losses due to housing benefit subsidy rules #UKhousing

The gap in what the local authority, England’s seventh largest, spent on B&Bs and what it was able to recoup from the government was £4.9m in 2023-24 and is projected to reach £6.6m in 2024-25, a report to Sheffield’s March housing committee meeting said.

“In the worst-case scenario, if we do not develop alternatives and sufficient service improvements, over 1,300 households could be in B&B by 2028 and the financial loss would continue to increase,” the report said.

“By relying on B&B we are breaching statutory guidance for families to be placed for no more than 42 days.”


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The draft strategy, recommended for approval by the committee, proposes using an additional 200 of the council’s homes for temporary accommodation, in addition to 442 already earmarked for the purpose, as a short-term measure while it explores other ways to reduce need.

The housing committee report estimated this could ease pressure on Sheffield’s general fund by approximately £2.9m for families and £2.2m for single households by 2027.

The initiative will be provided for by improvements to void management, including reducing turnaround times and bringing long-term empty homes back into use.

Last year, the consultancy Campbell Tickell carried out a review of Sheffield’s housing services, after which an additional evaluation focusing on its offer for people experiencing homelessness was also completed.

Homelessness services were found to be “overwhelmed with demand”, with Sheffield placing disproportionately high numbers of single people into temporary accommodation, and inadequacies both in assessment processes and prevention work.

Among the recommendations from the homelessness review were to invest in workforce development, rebalance allocations to increase lets to households in temporary accommodation, and make greater use of commissioned supported housing.

The resulting strategy is based on four main ambitions: to cut placement numbers, manage temporary accommodation more effectively, end the use of B&Bs and similar options, and ultimately deliver suitable and cost-effective temporary accommodation to meet need.

Over the lifetime of the strategy, the council hopes to reduce the overall number of temporary accommodation placements from more than 700 to around 500.

Sheffield is one of many councils struggling with the cost of temporary accommodation, with England as a whole now spending more than £2bn annually on placing households experiencing homelessness.

Research by Inside Housing recently estimated that more than 38,500 households with children under five were living in temporary accommodation in England in June 2024, with almost 10% (3,500) of those in B&Bs.

Other large local authority landlords, such as Bristol, have also made proposals to remove homes from their general needs stock as a way to reduce dependence on external providers.

Sheffield now plans to consult on the new five-year strategy with the public, partner organisations and other key stakeholders.

“[This] is needed to ensure opportunities for all of Sheffield’s residents and partners working across the housing, health, care, community safety, and voluntary sectors to have their say on the strategy and shape its contents and delivery,” the council’s report said.

The exercise is expected to take place across the end of March and into April, and to include a citywide survey, as well as qualitative work with residents, partners and community groups.

Amendments will then be made based on responses, with the final strategy due to be brought back for approval by the housing policy committee in June.

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