Audit Reveals: Northern Ireland's £12 Million Tab for Temporarily Housing Homeless

The Northern Ireland Housing Executive spent more than £12 million putting homeless people in hotels and B&Bs in a single year, a report reveals today.

Soaring Costs and Challenges
An Audit Office probe unveils the significant expenditures required to manage the homelessness crisis, despite the number of those facing homelessness showing relative stability. The expenditure on temporary accommodation has surged, with auditors highlighting a sharp rise in funds allocated for providing temporary shelter. Temporary accommodation costs now consume half of all NIHE expenses on homelessness, totaling £38.6 million in 2023-24. This includes outlays on items such as taxis and furniture storage, with a substantial portion spent on hotels and B&Bs.

Supply and Demand Pressures
Insufficient social housing availability exacerbates the financial and operational strains faced by the NIHE, the report notes. The Comptroller and Auditor General, Dorinnia Carville, stresses the need to redirect allocations from hotels and B&Bs towards homelessness prevention measures and the construction of new social housing.

Escalating Challenges
The report forewarns that escalating demand for temporary accommodation may render current services unsustainable. In 2023-24, the Housing Executive grappled with nearly £39 million in costs related to temporary shelter, impeding its efforts to emphasize proactive measures against homelessness.