Having agreed to extend their leases from between three and five years to ten years and one day, Waltham Forest says it will now be eligible for a 100% subsidy on costs, reports Sebastian Mann, Local Democracy Reporter

Waltham Forest Council has extended its leases on temporary accommodation after the number of families living there almost doubled in three years.

There are 1,700 families currently living in what is supposed to be short-term housing, which has led to “significant” financial pressure.

That is a 90% increase on the 900 families living there in 2022, according to council data published earlier this month.

The drastic increase in numbers has led to a £14.4million overspend in its temporary housing budget.

In a new bid to save money, the council will extend the leases they hold on temporary accommodation from between three and five years to more than ten years.

Under current housing law, local authorities can only claim back 90% of what they spend on renting such properties if the lease is under a decade.

Having agreed to extend them to ten years and one day, Waltham Forest says it will now be eligible for a 100% subsidy.

The money-saving scheme was rubber-stamped at a private council meeting today (22nd January) by co-deputy leader Councillor Ahsan Khan.

Temporary accommodation budgets across London are in the red by a combined total of £740m, according to a recently published report by the London School of Economics.

Enfield, Hackney and Greenwich councils have adopted similar schemes.

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