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The Tory housing crisis is costing taxpayers more than £1billion every year, a Mirror investigation reveals today.

A shortage of affordable homes means record numbers of homeless people are living in temporary accommodation.

PM Theresa May will on Monday make a major speech on housing, blaming local councils.

But charities, Labour and Lib Dems say Britain’s poorest families are paying the price after years of Tory failure to tackle the crisis, leaving them in an “ongoing nightmare”.

The Mirror probe obtained figures through Freedom of Information requests to 380 councils.

They show that £1.1billion was spent on putting homeless families in temporary accommodation last year.

The bill has risen 33,000% in Three Rivers, Herts – from just £2,375 in 2009/10 to £798,717 in 2016/17.

Sara Bedford, Lib Dem leader of Three Rivers Council, said: “Councils have been hit with a double whammy from the Government of families facing unwarranted cuts to benefits, together with policies which make it much more difficult to build affordable homes for rent.”

The average rise – from the 270 councils who responded – was 45%. In Newham, East London, the bill has risen to £61million.

Polly Neate, chief executive of housing charity Shelter, added: “These figures are a sad reflection of our worsening housing crisis.

“Every day at Shelter we speak to homeless families having to live in a cramped B&B or hostel room, often for months on end without knowing when they’ll have a secure home.

“Meanwhile councils are being massively stretched as more and more families turn to them for help.

"To end this ongoing nightmare, the Government must ensure housing benefit covers the cost of renting, while also tackling the root of the crisis by building a new generation of genuinely affordable homes to rent.”

(Image: PA)

Government figures show there were 79,190 households in temporary accommodation at the end of September 2017. They include 121,360 children, a 63% rise since March 2010.

Despite this, The Mirror exposed last week how the Tories had rejected £72million set aside to build affordable homes because it was “no longer required”. Housing Secretary Sajid Javid admitted £817million of his budget was being sent back to the Treasury as his department had failed to spend the cash.

Labour’s John Healey, Shadow Housing Secretary, said: “This research shows taxpayers are paying the price for the Government’s failure on homelessness.

“The number of homeless families stuck in temporary accommodation has soared as a direct result of decisions made by Conservative ministers.

“Since 2010, the number of new social rented homes has fallen to the lowest level since records began, homelessness budgets have been slashed and ministers have refused to give private renters the protections they deserve.”

Landlords ending tenancies is the most common reason for households being accepted as homeless. This has overtaken relatives no longer being able or willing to provide accommodation.

The Prime Minister will seek to heap the blame on town halls today, demanding they change planning rules to approve new developments. She will urge new “use it or lose it” contracts where permissions could lapse if builders do not start work.

But Cllr Martin Tett, the Local Government Association’s housing spokesman, said: “What we really need is for councils to be allowed to invest in building genuinely affordable homes”

A Ministry of Housing, Communities & Local Government spokesman said: “We are providing £1billion of funding and bringing in the most ambitious legislation in decades through the Homelessness Reduction Act that will mean people get the support they need.”

Only solution is building more cheaper housing

(Image: Internet Unknown)

By Polly Neate, chief executive of Shelter

AT the root of our housing crisis is the chronic lack of genuinely affordable homes.

This situation has left millions trapped in unstable and expensive private renting.

The leading cause of homelessness is people losing a tenancy and not being able to find an affordable home.

The Government must prioritise making renting more affordable and stable for families across the country.

This means building more genuinely affordable homes to both rent and buy. Today the Government will announce a review of the planning system to increase the rate of homes being built.

One of the obstacles that urgently needs to be addressed is the viability loophole.

This legal loophole currently allows developers to wriggle out of building the affordable homes that communities desperately need.