08 January 2025

The Temporary Accommodation Crisis: A call for urgent solutions

The Temporary Accommodation Crisis: A call for urgent solutions  image
Image: Clare Louise Jackson / Shutterstock.com.

Nathalie Meunier, sales director at offsite manufacturer, Premier Modular, argues that modular or offsite construction provides a practical solution to the temporary accommodation crisis.

England is currently facing record levels of homelessness, with the responsibility of finding solutions falling on local governments. Councils are legally obligated to provide temporary housing for those in need; however, as the number of people needing this type of support grows, so does the cost of housing them. Coupled with existing budget restrictions and pressures, local councils face competing challenges on many fronts.

Last August, the Ministry of Housing, Communities and Local Government (MHCLG) published its latest statistics for homelessness in England. Among the report’s critical findings were alarming new figures for child homelessness, with 151,000 children in England living in temporary accommodation.

These children face growing up in transitory environments such as hotels, with people often living in unsuitable conditions for years at a time. Problems with temporary accommodation include issues with overcrowding, disrepair and often accessibility for people with disabilities. Now is the time to address this crisis and tackle it head on with alternative solutions, before it worsens further.

Many of the financial and speed issues that come with providing additional temporary accommodation stem from the approach of using traditional building methods. However, there are other options in the construction world such as modular, which may offer local authorities a better option in their push to solve the housing crisis in their local areas.

A number of councils are already exploring modular or offsite construction as a way to provide the support they need to provide suitable accommodation for the homeless population. The City of Lincoln Council has confirmed it is exploring modular building as a solution to homelessness in the area due to the quick construction times and lower costs and Swindon Borough Council also announced plans last year to invest in modular buildings to reduce the number of homeless families facing being housed in B&Bs and hotels. The council in Swindon has also highlighted modular solutions as an important step towards achieving its sustainability goals.

Buildings manufactured offsite often use predesigned models, which are not only repeatable but are also preapproved to meet all necessary building codes for temporary accommodation. These predesigned structures can streamline the procurement process for local governments by ensuring compliance, easing planning approval and allowing for a lease model. Leasing opens up funding opportunities, by using OpEx rather than CapEx budgets, which might not have been previously accessible. This enables organisations to better manage their operational expenditure and avoid sizeable upfront costs. For budget-constrained organisations like local government departments, flexible funding provides a way to overcome procurement barriers while unlocking additional funds through rental options.

Another common challenge for local governments providing temporary accommodation is finding adequate space, particularly as they balance short-term need with their long-term development plans. In many cases, land designated for future developments remains unused for extended periods while projects await final approval or funding, and this underutilised land represents an opportunity to address immediate housing needs. Modular buildings, with their adaptable and relocatable designs, can be installed temporarily on such sites, providing a practical solution that is quick to put in place and won’t tie up land packages, blocking future development. Once the land is ready for its intended use, the modular structures can be relocated with minimal disruption, allowing local governments to make efficient use of available space without compromising long-term plans.

Local authorities can also consider collaborating with alternative funding partners who are interested in investing in a worthwhile cause. Pension providers, for example, manage vast portfolios and often seek stable, socially responsible investments. Collaborations like this could unlock significant new funding for temporary accommodation projects while aligning with the providers’ long-term goals.

A cross-sector alliance between local and central government and construction companies with a view to collaborating on a large-scale accommodation agreement would be an ideal solution to help ease the situation. Drawing on cross-industry expertise, new and innovative approaches to the construction of temporary accommodation could be unearthed and made possible, helping both local authorities find solutions for housing their vulnerable people in a timely and cost-efficient way.

Looking ahead, creative solutions are needed to solve the temporary accommodation crisis. Local authorities must look to collaborate with each other, and with the construction sector at large, to put projects in place, such as modular, which allow suitable homes to be built, offering some of the UK’s most vulnerable people a warm, safe and appropriate living environment.

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