Oxford City Council’s Cabinet has approved a major investment designed to expand the council’s temporary accommodation stock and reduce the use of hotels for homeless households.

The funding will see the Council invest up to £32 million to deliver around 150 additional homes for temporary accommodation. This will include buying new properties and bringing existing council-owned homes back into use.
These 150 new units will mean the Council will have 560 units of owned or managed temporary accommodation by 2028/9. This would meet projected demand and help end long-term reliance on hotels and B&Bs.
The aim of the funding is to significantly reduce the Council’s reliance on hotels and other nightly paid accommodation. The use of bed and breakfast accommodation, predominantly for single person households, incurs significant costs for the Council. Without action, spending on this type of accommodation had been projected to reach around £2.4 million a year in 2025/26.
Temporary accommodation background
Temporary accommodation is provided to households who are homeless and in priority need while longer-term housing is secured.
The number of households requiring temporary accommodation has more than doubled over the past several years, rising from 116 in March 2023 to 309 in November 2025.
This increase reflects a nationwide trend with factors including the cost-of-living crisis, rapidly rising private sector rents, and the ongoing shortage of affordable private and social housing in Oxford and surrounding areas.
Comment
“We are seeing unprecedented pressure on our homelessness services, and more people than ever are turning to us for help. It is crucial that the Council takes steps now to increase the supply of temporary accommodation, to ensure that demand does not continue to outpace our ability to help those in need.
“This funding can help us provide a place to cook meals and the stability of a front door, for those experiencing hardship and at risk of homelessness. This accommodation can be the first stepping stone towards rebuilding lives, and helps keep people closer to schools, to work and to their support networks.
“At the same time, we’re building new fully affordable council homes across Oxford. The only long-term solution to homelessness is more genuinely affordable housing.”
- Councillor Linda Smith, Cabinet Member for Housing and Communities