Havant Borough Council spent £16.6million 'unlawfully' on emergency accommodation for homeless people
£13.6million was spent in the last four years
A new report from Havant Borough Council has revealed that £16.6million has been spent “unlawfully” on emergency accommodation for homeless people.
A review undertaken by officers of the council has “has not identified documentation evidencing compliant procurement of contracts” for payments made to providers of emergency accommodation and related services from 2019 to July 2026.
Procurement is the official process of buying goods and services in a council, and requires proper legislation and documentation to ensure that spending adheres to council rules. This is to ensure the council is getting value for money on goods and services, and allows for transparency and fairness.
A report due to be presented to the council’s cabinet on September 23, said that as a result of the lack of adherence to procedure, “it is likely that best value has not been achieved and that some savings could have been realised.”
It said that council records has identified payments totalling approximately £16.6 million made during the 2019 to 2026 period, with £13.6 million of that being spent in the last four years. The highest amount paid in a single financial year was approximately £3.8 million during the 2024/25 financial year.
Councillor Terry Norton, who represents the Stakes ward for Havant Borough Council, said: “The information we have received raises serious questions about governance, procurement processes, oversight and how the Council reached its current position.
“We need answers about what happened, over what period, who was responsible for the relevant decisions and what political oversight was in place.
“Our approach should be straightforward: establish the facts, follow the decision-making and accountability trail, understand whether the correct processes were followed, and determine what needs to change so that the Council is properly governed and taxpayers are protected."
Procurement was previously outsourced by the council but was brought back in-house in April 2025 and, in December 2025 it began a review of the expenditure data.
A council spokesperson said: “This review identified that during the period 2019/2020 – 2026/2027, the provision of temporary accommodation by HBC took place without appropriate procurement or contractual frameworks in place.
“While the provision of temporary housing during this period was appropriate, in terms of allocation, quality and cost, the lack of documented oversight and governance requires a statutory report outlining the review’s finding to be submitted to Cabinet, pursuant to Section 5A(3)(a) of the local Government and Housing Act 1989 and Section 114A (2)(a) Local Government Finance Act 1988.
“Cabinet will consider the report at their meeting on 23 September, 2026 and decide whether the remedial action plan prepared by officers following external legal advice is appropriate and sufficient.”