Bridgend Council has decided to acquire three new properties to be used as houses in multiple occupation (HMO). This decision was made during a council cabinet meeting on September 24, where a report was presented regarding the authority’s housing and homelessness situation in the borough. The report outlined the challenges faced by the council, including a significant increase in applications for the common housing register, which rose from 816 in 2019-20 to 3,254 by August 2024.
Moreover, there has been a notable surge in the costs of temporary accommodation, with an astonishing 3,665% increase between 2019-20 and 2023-24. This surge has led the council to anticipate spending over £3.2 million on temporary accommodation in the upcoming 2024-25 financial year. In response to this escalating cost, a strategy has been devised to address the issue. In March, the council approved a proposal to purchase HMO-style properties to establish their own cost-effective temporary accommodation.
The latest report presented by officers suggested that the daily cost for properties owned by the council would be around £25 per unit, significantly lower than the average price of alternative accommodations, which are approximately 70% higher. The council has already acquired two properties, with a third purchase currently underway. The report proposed further expanding this model for family-style properties to enhance savings. The council is seeking approval to purchase three additional properties for the same purpose of providing temporary accommodation.
Council members, including deputy leader Jane Gebbie, expressed optimism towards the plan, highlighting the potential for substantial cost savings. Gebbie emphasised the importance of finding sustainable solutions to reduce the high costs associated with temporary accommodation. The unanimous approval by cabinet members indicates a collective agreement on the proposed strategy, although potential market fluctuations and maintenance costs were acknowledged as risks to be monitored.
The council’s initiative to invest in HMO-style properties as part of their housing strategy represents a proactive step towards addressing the growing challenges of housing and homelessness in the Bridgend area. By taking ownership of the accommodation, the council aims to achieve financial efficiency while ensuring adequate provision for those in need. This innovative approach reflects a commitment to finding practical and sustainable solutions to complex social issues within the community.