An additional £432m to end rough sleeping by Christmas has been welcomed by regional leaders, but some warn that more affordable and social housing reform is still needed.
Prior to the first Rough Sleeping Summit at Downing Street on Monday this week, the government indicated that it would bring its rough sleeping package to a total of £874m, an increase of over £430m. Prime Minister Andy Burnham made it his first pledge after entering No. 10 in July to “get everyone in for Christmas” and ensure that all rough sleepers in England are offered accommodation this winter.
Record High Numbers
According to the most recent official statistics, the number of people estimated to be sleeping rough on a single night in Autumn 2025 is 4,793. The figure was branded a new “record high” by the Ministry of Housing, Communities and Local Government.
In the North East, the region saw the largest percentage increase in rough sleeping in England, up 31% from 124 in 2024 to 162 in 2025 on a single Autumn night. Newcastle also saw a stark increase in rough sleeping in the same period, up from 21 to 46, equating to a 119% rise.
Local Leaders Respond
Responding to the news, the leader of Newcastle City Council, coun Colin Ferguson, said: “We welcome any additional investment that helps people sleeping rough access accommodation and the support they need, particularly as we approach the winter months.
“In Newcastle, the services we commission play a vital role in preventing homelessness wherever possible and responding quickly and compassionately when people do find themselves in crisis. Anyone who presents as homeless in the city is already offered emergency accommodation, and additional funding would help us build on that support and do even more to meet growing and increasingly complex needs. These services provide both accommodation and tailored support to help people move towards longer-term stability.
“However, tackling rough sleeping is about more than emergency provision alone. The long-term solution lies in increasing the supply of affordable and social housing and ensuring people can access homes that meet their needs. That’s why the council has made growing the supply of affordable housing a key priority, alongside making the best use of existing housing stock.”
In August, Newcastle council secured over £141m in government funding to help construct 966 new council homes, having been selected as one of only three councils to be a “strategic partner” in Homes England’s Social and Affordable Homes Programme. The funding boost and partnership will support the area’s wider plans to see 15,000 new homes over the next decades.
Coun Ferguson continued: “We look forward to understanding the details of the government’s announcement and how any additional funding can support our ongoing work to prevent homelessness and provide lasting routes away from rough sleeping.”
Mayor of North Tyneside Karen Clark said: “Having a safe and secure place to call home is something everyone deserves. This investment recognises that tackling rough sleeping requires more than just a roof over someone’s head. It means providing the right support to help people get back on their feet and prevent them from returning to the streets.
“In North Tyneside, we are committed to preventing homelessness wherever possible, and I look forward to working with the government to turn this investment into real support for those who need it most.”
The leader of Northumberland County Council, coun Glen Sanderson, echoed the sentiment that “any more money for local councils is always welcome.”
Call for Further Action
Mairi MacRae, Acting Chief Executive of Shelter, said: “This funding boost is a significant investment, and with £40 billion now pledged for social and affordable housing, it will help unlock the delivery of thousands more homes.
“As we head into winter, record numbers of children are stuck homelessness in grotty temporary accommodation, while countless more families struggle to cope with soaring housing costs. With rents tied to local incomes, social rent homes are the only genuinely affordable option for many families, but over the last few decades, supply has plummeted.
“This funding injection is another important step in the right direction, but to deliver the council house building revolution it promised, the government must go further. The Autumn Budget is the Prime Minister’s chance to remove unsustainable housing debt from council balance sheets and truly turbocharge the delivery of social rent homes.”
