Nottingham City Council has approved acceptance of a £1.218 million government grant to expand accommodation and support for people sleeping rough, with additional provision due to be ready before Christmas.
The programme includes an expanded winter shelter, dedicated provision for women and up to 30 additional supported accommodation places, alongside specialist assessment and help for people to move into longer-term housing.
Council leader Councillor Neghat Khan signed the delegated decision on 6 November. It remains subject to call-in until 13 November, allowing time for the decision to be challenged through the council’s scrutiny process.
The £1,218,790 allocation is for the 2026/27 financial year. According to the decision report, it comes with the expectation that the council provides a credible offer of accommodation away from the streets to everyone sleeping rough by Christmas 2026.
The council plans to extend severe weather emergency provision and expand winter shelter capacity to provide an accommodation offer every night. Subject to the necessary approvals, these elements could be put in place immediately.
Up to 30 supported accommodation units will be secured through a competitive process using the council’s existing procurement framework, with a deadline of 21 December for them to be ready.
The programme also includes specialist assessment beds for people with complex needs, additional staff to help people move on from temporary provision, and resettlement packages to support that move.
Targeted support for drug use, mental health problems and people experiencing both is intended to help those who face the greatest barriers to using existing services.
The report says emergency accommodation alone would not resolve the problems within the city’s homelessness services. Without suitable longer-term housing and support, people can struggle to move on, leaving fewer spaces available for others who need immediate help.
The council rejected relying primarily on hotels, saying this would offer less stability and support. Any hotel accommodation used would need clear arrangements for referrals, support and helping residents move into more suitable housing.
The funding forms part of the Government’s Rough Sleeping Programme, published on 19 August 2026, which the report says provides £442 million nationally over three years.
Its aims include addressing shortages of immediate accommodation and settled housing, improving coordination between services, and removing barriers that can delay support, including local connection requirements and processes for verifying that someone is sleeping rough.
Nottingham’s immediate allocation is ringfenced, meaning it must be used for the programme’s purposes. Finance officers say the provision is entirely grant-funded, with no underlying council budget allocated to it.
However, the report says no direct council revenue or capital allocation has been confirmed for 2027/28 or 2028/29.
Longer-term proposals are being developed with the East Midlands Combined County Authority and county partners. These include accommodation for people whose needs are close to adult social care eligibility thresholds, and a more structured accommodation and support route for offenders who have difficulty accessing mainstream provision because of their risks and support needs.
The council has ruled out open-ended commitments beyond the current financial year while future funding remains uncertain. Longer-term leases, staffing and service arrangements would need review points and clear exit arrangements to avoid leaving the authority with costs it cannot fund.
Legal advice within the report also identifies a funding issue requiring clarification. Proposed provision at Edwin House is intended to continue until 30 June 2027, but officers must establish how costs after 31 March will be met.
The advice states that money not spent by the end of the 2026/27 funding period, or spent outside the grant conditions, must be returned to the Government and cannot be carried forward.
Other risks include a shortage of suitable accommodation and providers able to deliver services quickly. The report also acknowledges that some people could remain on the streets or move repeatedly through emergency accommodation if their support needs cannot be managed safely.
The decision authorises the council’s Assistant Director of Homelessness Services to arrange procurement, award or vary contracts and allocate funding within the approved programme. Further work will focus on securing accommodation and support before Christmas while developing proposals for funding in later years.
