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Trial to borrow £5.6m for Medway Council to buy homes for people needing temporary accommodation approved

A trial involving borrowing £5.6 million to buy homes which will be offered to those in need of temporary accommodation has been approved by councillors.

A report presented to Medway councillors ahead of a cabinet meeting yesterday says the demand for temporary accommodation has been on the increase for the last 10 years – and the price per night is also on the rise.

Medway Council could borrow £5.6 million to buy properties that will be used to provide temporary accommodation. Stock image
Medway Council could borrow £5.6 million to buy properties that will be used to provide temporary accommodation. Stock image

Officers concluded without preventative actions, the authority would have to provide anywhere between 280 and 320 accommodation units to meet this demand.

Currently, the council pays Paramount Property Services £31-a-night for a one-bedroom property, £35 for two bedrooms, £37 for three bedrooms, and £50 for four bedrooms.

Councillors approved plans to borrow just under £5.6m for a pilot scheme to buy 20 two-bedroom properties on the open market, at an average cost of £279,500 each, which also includes the cost of stamp duty and refurbishment.

The plans will be finalised subject to getting approval from full council.

Deputy leader Cllr Howard Doe (Con), who is also the council's portfolio holder for housing and community services, said there were about 300 people in temporary accommodation.

Cllr Howard Doe (Con), Medway Council’s portfolio holder for housing and community services
Cllr Howard Doe (Con), Medway Council’s portfolio holder for housing and community services

He also stressed the scheme would allow the council to control the standard of accommodation provided.

Cllr Doe added the alternative would be sending people out of the area or putting them up in hotels which is "extremely expensive".

Last month, KentOnline reported how a Medway couple, Friday Quick and Richard Warrior, had been living in their car after a no-fault eviction.

The pair had been sleeping in an Audi for more than a week with only blankets, pillows, medication and a few appliances.

They have since been moved into temporary accommodation.

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