London boroughs are expected to overspend by £250m on homelessness during this financial year, despite increasing funding for homelessness. This represents a nearly 40% increase compared to last year. 

Making its submission to the Treasury ahead of the Budget on 30 October, where the Chancellor will also set out her Spending Review decisions for 2025/26,  London Councils’ has said the top priority must be to stabilise local government funding.  

In the 2023/24, 29 of London’s 33 local authorities exceeded their homelessness budgets, resulting in a total overspend of £208m.