£11m temporary accommodation bill drives council to seek government help

A council is urging the government to give financial support as its temporary accommodation costs soar to £11 million.

Brighton and Hove council have requested Exceptional Financial Support (EFS) from the government to create headroom in its 2026/27 Budget.

EFS allows councils short-term flexibility to borrow additional funding to stabilise their finances while continuing work to bring spending back onto a sustainable footing.

Asking the government to work with us

Brighton and Hove council say temporary accommodation remains the single largest financial pressure, with costs forecast to rise by £11 million due to increasing demand and reliance on high-cost emergency placements such as B&Bs.

The council’s 2026/27 Budget wants to increase the supply of more affordable temporary accommodation and has asked the government for emergency financial support.

Councillor Jacob Taylor, deputy leader and cabinet member for Finance and City Regeneration, said: “This is not just about financial management. It is about ensuring people can stay in the city they call home, close to their families, schools and support networks.

“No one should have to move miles away because the system is under strain.

“We are investing in new social homes, reducing our reliance on expensive private rentals, and ensuring families have safe, stable places to live. This budget puts housing first and helps to fix a system that has been failing residents.

“Our proposals set out a clear and determined plan to increase the supply of affordable homes and support people into long-term stability. We are asking the government to work with us, because tackling the housing crisis and the budget must go hand in hand.”

The final Budget will be considered by councillors later in February.