Decision details

The Cabinet Member for Housing Services presented a report regarding an expression of interest submitted by the Council for 40% grant funding under LAFH Round 3 to acquire seven properties to provide temporary accommodation for homeless families. Bury was successful and has been awarded £447,200 from MHCLG, and this report sought approval to match fund the grant.

Decision:

Cabinet approved the use of £690,000 of match funding from the General Fund Capital Programme 25/26 to enable the purchase of seven homes to help reduce reliance on unsuitable and costly temporary accommodation.

Reasons for the decision:

2.1 Approval is needed for 60% General Fund Capital Programme match funding to support the purchase of seven properties. Rents will be set at affordable rent levels. This approach supports long-term sustainability reflecting an invest-to-save model, reducing reliance on expensive Bed and Breakfast placements. Estimated savings are approximately £1,164m million over three years. The proposal aligns with LAHF grant conditions enabling the Council to meet its statutory housing duties while easing financial pressure.

Alternative options considered and rejected:

Do nothing: These properties will provide long-term, financially sustainable temporary accommodation for the borough, with the council contributing only 60% of the acquisition cost. If this option is not pursued, the council may need to continue relying on expensive bed and breakfast placements, which would not support a cost-effective, invest-to-save approach.