Councils in England spent a record £2.9 billion on temporary accommodation in the year ending April 2026, according to official data. This means over £8 million was spent daily on emergency housing, a significant 88% increase over the past five years. Although the total cost rose by £100 million, or 4%, compared to the previous year, the increase has slowed, suggesting a slight easing in the rate of growth. The majority of this expenditure—around £1.78 billion, or 65%—was allocated to emergency B&Bs and self-contained private homes, which are the most costly forms of temporary housing. As of March 2026, 135,580 families were living in such temporary arrangements, housing 177,530 children—both numbers are record highs. Mairi MacRae, director of policy and campaigns at Shelter, criticized the reliance on temporary solutions, stating that councils are addressing the symptoms of the housing crisis rather than its root causes. She argued that the focus should be on building more social housing, rather than continuing to depend on private companies for emergency accommodation. In June, the government pledged £30 million to reduce the use of emergency housing, though local authorities have warned that such costs now make up a significant portion of their annual budgets. New Prime Minister Andy Burnham recently announced a £442 million initiative aimed at ending rough sleeping in the UK. The government also outlined how the first quarter of a £39 billion affordable housing fund, established by the previous administration, would be used to build 70,000 affordable homes. However, campaign groups have urged the government to increase housing benefit rates, which have not changed since April 2024, despite rising private rental costs. Recent research by Citizens Advice found that fewer than two percent of private rental properties are affordable for those relying on housing benefits. Matt Downie, chief executive at Crisis, emphasized the need to shift away from costly temporary solutions for homelessness and instead focus on providing stable, permanent housing. He called on the government to adjust housing benefit rates to reflect the true cost of private renting. Cllr Carl Cashman, Chair of the LGA's Inclusive Growth Committee, noted that councils are trapped in a cycle of rising temporary accommodation costs and limited funding. He acknowledged the slower rate of increase but warned that continued growth is concerning. He urged the government to increase funding and address the causes of homelessness through more council housebuilding and efforts to reduce the demand for temporary housing. The government has not yet commented on these latest figures.