How to prevent homelessness in the UK?

Aug 30, 2022
3 min read
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We provide personalised cash grants to help people out of homelessness for good

It costs Greater Change just £1,300 to help an individual out of homelessness.
This saves the public purse over £29,000 per annum. A return of over 20x

This article is a combination of the current statistics for homelessness in the UK and how to escape homelessness. You may be interested in reading those after this one!

How many people are homeless

Crisis.org states the following: No national figure for how many people are homeless across the UK. This is because homelessness is recorded differently in each nation, and because many homeless people do not show up in official statistics at all. For the last few years, homelessness has been steadily rising, in 2018, 207,600 people were homeless, and by the end of 2021, there were 227,000 homeless people.

What is the cost of homelessness?

According to the Institute for Fiscal Studies, government spending on homelessness has more than doubled over the last decade. Research by the Institute for Fiscal Studies (IFS) shows that government spending on homelessness has more than doubled over the last decade.

According to the Shelter, in 2020, the UK government spent £1.2 billion on temporary accommodation for homeless households alone – up from £530 million in 2005/06. This means that since 2005, this aspect of homelessness funding has increased by 134%.

The government’s Evidence review of the cost of homelessness finds that homelessness costs roughly £24,000-£30,000 per person. The range is due to this report citing multiple other reports and papers.

These cited reports typically look at forms of homelessness that cost more to support, such as rough sleeping and being in hostels. However, the reports typically only include direct costs. When the full indirect cost is taken into account, the cost can go from £24,350 per person per year to over £400,000.

Considering that Crisis.org now estimates 227,000 homeless households in the UK, it is safe to assume that the total cost of homelessness exceeds the £1.2 billion spent on housing.

Is there a more cost-effective approach to preventing homelessness?

Regardless of whether it is cost-efficient to ensure that everyone has a home, it is our moral duty to provide people with homes. Not only because homelessness is an experience no one should have to go through but also because homelessness kills.

Crisis now reports that the average age of death for homeless men is 46 and for homeless women, 42. Not only is it our moral duty as a nation to end homelessness, but it would also actually save taxpayer funds. There are several policies that have been implemented and are proven to work.

Housing first approach

Put simply, this strategy involves giving homes to homeless people before providing the support they need for their mental health and addiction issues so that they are able to stay in their own homes rather than needing a hostel or prison cell.

There is a significant body of evidence that this strategy works. Finland has reported a fall in the absolute number of long-term homeless people following the adoption of a national strategy centred on using Housing First to end homelessness in the long term.

In 2008, 2,931 people were long-term homeless in the ten biggest cities. This number dropped to 2,192 in late 2013, a reduction of 25%. In 2013, the Housing First Europe project reported that 97% of the high-need homeless people using the Discus Housing First service in Amsterdam were still in their housing after 12 months in the service.

In Copenhagen, the rate was 94% overall, with a similarly impressive level reported by the Turning Point Housing First service in Glasgow (92%). The Casas Primeiro Housing First service in Lisbon reported a rate of 79%. The cost of housing first policies varies by region. However, providing housing first for an individual is typically cheaper than leaving them homeless and is an effective weapon for tackling homelessness. 

Everyone In

During the pandemic, it was proven that sleeping rough can be dramatically reduced by offering people a place to stay. The local government referred to it as the ‘everyone in’ programme. It had previously been claimed by some that most people sleeping rough were making a choice.

Common sense, or talking to a few people rough sleeping, should be enough to show that this assertion is ludicrous. However, the ‘everyone in’ program proved this conclusively. Giving people accommodation for a significant period of time allowed people to get some stability and think about their future.

This led to many former rough sleepers being able to secure long-term accommodation even after the government programme ended. Greater Change believes that rapidly offering people suitable accommodation can give people the stability they need to approach other problems they face.

Greater Change also believes in a prevention strategy and helping people who are already homeless. This essentially involves identifying when people are at risk of homelessness or about to become homeless and preventing them from becoming homeless before it happens.

There is a significant body of evidence that this works. It is also common sense that homelessness prevention would work. Homelessness is very damaging to people’s health and almost always exacerbates the problems that lead to someone becoming homeless.

It is much easier to prevent homelessness with early intervention before these problems have been exacerbated than to support someone once they have become homeless.

How does Greater Change help people out of homelessness? 

Greater Change focuses on a particular group - those that need a financial boost to escape homelessness. We believe everyone deserves help. However, we focus on this particular group because we believe that is where our resources can be most helpful.

We believe that if we can help this group effectively, this will free capacity for other services to help people in more difficult situations more effectively. All the people we support also receive guidance and support from a partner charity to get back on their feet. So join us, and let's talk about homelessness.

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