Wales is experiencing unprecedented pressure on temporary accommodation. Monthly figures show more than 11,000 people living in temporary settings, with bed and breakfast (B&B) and hotels the single most-used type of provision. Families placed in B&Bs have risen dramatically over recent years, underscoring the human and financial cost of a crisis that local authorities cannot solve alone. The good news: the policy direction is clear (rapid rehousing and prevention) and providers equipped with the right digital tools can accelerate progress today.
1) Wales Faces Record Highs in Temporary Accommodation: How Providers Can Help
Wales has reached record levels of reliance on temporary accommodation, with 11,029 individuals housed in TA as of 31 August 2025, and B&B/hotels now the largest single category used. Families placed in B&Bs have increased more than tenfold over the last four years, reflecting market constraints created by limited affordable supply, rising rents, and a lack of one-bedroom homes. The Welsh Government’s plan is explicit: make homelessness rare, brief and unrepeated through rapid rehousing and prevention. Providers sit at the heart of making that real.
Where providers can move faster (and smarter)
- Build prevention-first pathways that prioritise swift, stable move-on, aligned to rapid rehousing guidance.
- Strengthen partnerships around Housing First for people with complex needs.
- Use digital infrastructure to reduce friction: ECCO’s Case Management System, Outcome Monitoring, and Real-Time Monitoring System give teams a single view of clients, activity and outcomes so prevention and rapid rehousing efforts are targeted, auditable and quick to evidence.
How ECCO helps providers operationalise policy\
- Surface available units and support in one place with Software for Homelessness Services
- Standardise pathways and support plans via the Case Management System
- Evidence outcomes for commissioners with Outcome Monitoring and automated reports
2) The Hidden Cost of Temporary Accommodation: Why Supported Housing Matters
The visible costs of TA are only part of the story. Long stays in poor-quality or inappropriate accommodation disrupt education, affect mental and physical health, and strain already stretched local budgets. TA spending has surged over fivefold since 2019–20, a trajectory that is financially unsustainable for councils. The strategic fix is clear: scale supported housing and deliver rapid rehousing, so every move takes people closer to secure, appropriate homes with the right wrap-around support.
Digitally enabling supported housing at pace
- Design and track personalised support with ECCO’s Supported Accommodation Management System
- Identify needs and target resources using Needs Assessment Software
- Automate evidence for governance and inspections through Outcome Monitoring and real-time dashboards
Why this aligns with national priorities
Wales’s Ending Homelessness High Level Action Plan (2021–2026) sets expectations for rapid rehousing alongside legislative reform and delivery of more social homes. Independent analyses warn that hitting the 20,000-home target requires sustained investment and focus, underlining the need to scale supported options and move people on quickly.
3) From B&Bs to the Streets: The Urgent Need for Suitable, Stable Homes
No one should have to choose between a low-quality B&B and sleeping rough. Yet with demand still high and move-on bottlenecks, too many people face exactly that. Policy momentum is behind rapid rehousing and Housing First, but delivery hinges on the day-to-day capabilities of frontline teams: fast casework, seamless multi-agency coordination, and live data to prioritise those most at risk.
Put the right technology behind the right approach
- Coordinate multi-agency support securely with ECCO’s Case Management System
- Manage supported units and tenant journeys via the Supported Accommodation Management System
- Track risk, compliance and evidence-based outcomes using Outcome Monitoring and the Real-Time Monitoring System
- Tailor services to individual needs with Needs Assessment Software
Wales at a Glance (for Boards and Commissioners)
Key facts
- 11,029 individuals were in temporary accommodation on 31 August 2025; B&B/hotels were the most-used TA type.
- Families in B&Bs have increased from 33 to 408 in four years. This represents more than a tenfold rise.
- Council spending on TA has increased by 516% since 2019–20.
Priority actions for providers
- Align local delivery to rapid rehousing and prevention frameworks.
- Expand supported housing and Housing First capacity for people with complex needs.
- Invest in integrated systems that make move-on faster and safer:
Summary
Wales’s temporary accommodation crisis is real but solvable. The pathway is already set by national policy: prevention, rapid rehousing, and person-centred support. Providers who combine those principles with robust digital infrastructure can shorten stays, improve outcomes and protect budgets. ECCO’s platform brings casework, housing support, reporting and compliance together so teams can focus on what matters most: moving people into safe, stable homes, faster.