Brighton Council Requests Government Support Over Rising Temporary Accommodation Costs

Brighton and Hove City Council has formally requested Exceptional Financial Support (EFS) from the UK government to address a forecasted £11 million increase in temporary accommodation costs for the 2026/27 financial year. This request aims to create budget headroom and provide short-term borrowing flexibility to stabilise council finances while continuing efforts to reduce expenditure sustainably.

Temporary Accommodation: The Largest Financial Pressure

The council identifies temporary accommodation as its single largest financial challenge, with rising demand and dependence on high-cost emergency placements—such as bed and breakfasts—driving costs upward. These emergency solutions are typically more expensive and less stable than longer-term housing options, placing strain on the council’s budget and resources.

Budget Plans Focus on Affordable Housing Supply

Brighton and Hove’s 2026/27 budget proposals include measures to increase the supply of affordable temporary accommodation, aiming to reduce reliance on costly private rentals and emergency placements. The council’s strategy involves investing in new social homes to provide safe, stable housing for families and individuals, thereby addressing both immediate needs and long-term housing stability.

Council Leadership Emphasises Social and Financial Responsibility

Deputy Leader and Cabinet Member for Finance and City Regeneration, Councillor Jacob Taylor, stressed the importance of the council’s approach: “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.”

He added, “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.”

Councillor Taylor concluded, “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.”

Implications for Landlords and Letting Agents

The council’s request for government financial support and focus on expanding affordable temporary accommodation may influence the local private rented sector. Increased investment in social housing could reduce pressure on private landlords to provide emergency placements, while also potentially stabilising rental markets by addressing housing supply shortages.

For letting agents and landlords, these developments underscore the ongoing challenges councils face in managing temporary accommodation costs and the importance of collaborative approaches between public authorities and private sector stakeholders to support housing stability.

Next Steps

The final budget, incorporating these proposals and the government’s response to the funding request, is scheduled for consideration by Brighton and Hove councillors later in February 2026.

Suggested internal link anchors

• temporary accommodation costs
• Exceptional Financial Support
• affordable housing supply
• social homes investment
• emergency placements
• private rented sector
• housing crisis
• local council budgets
• housing stability
• rental market pressures

TLA update

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