MHCLG has announced two new funding streams worth just over £50 million to support councils and frontline organisations in England, aligned to the national target to halve long‑term rough sleeping by the end of this Parliament in 2029. The package comprises a £37 million Ending Homelessness in Communities Fund and a £15 million Long‑Term Rough Sleeping Innovation Programme. The press notice was issued on 26 February 2026. (gov.uk)
The Ending Homelessness in Communities Fund will invest in voluntary, community and faith‑based providers that deliver day‑to‑day prevention and support. MHCLG says the fund can back projects, staffing and building works to expand capacity and embed trauma‑informed, community‑based approaches; awards will be made through a competitive process for small and medium organisations operating across England. (gov.uk)
According to the official prospectus, eligibility is restricted to VCSE organisations in England with annual income under £5 million and at least three years’ delivery supporting people at risk of, or experiencing, homelessness and rough sleeping. Applications opened at midday on Monday 23 February 2026 and close at midday on Monday 31 March 2026; a letter of endorsement from the relevant local authority must accompany bids to ensure alignment with local strategy. (gov.uk)
Grant sizes are set between £50,000 and £200,000 per year for revenue, with optional capital grants of £50,000 to £200,000 in Year 1 or Year 2; organisations may apply for both within a single application. Assessments run in April, moderation in May, outcomes in June, with Grant Funding Agreements issued in June and first payments scheduled for August 2026. Only one application per organisation will be assessed and standard due‑diligence will apply. (gov.uk)
The Long‑Term Rough Sleeping Innovation Programme will run from April 2026 to 2029 in 28 areas under the greatest pressure, including London. Funding is intended to strengthen complex case co‑ordination, peer mentoring and links between services, underpinned by locally developed Long‑Term Rough Sleeping Partnership Plans. (gov.uk)
MHCLG frames the funding as delivery against the National Plan to End Homelessness, backed by £3.6 billion. The plan sets out three end‑of‑Parliament aims: halving long‑term rough sleeping, ending unlawful B&B use for families, and shifting the system towards prevention, including a proposed statutory Duty to Collaborate across public bodies and targeted supported‑housing investment for high‑need areas. (gov.uk)
The domestic abuse dimension is explicit in the evidence base. Government research published in the Rough Sleeping Questionnaire 2025 reports that 69% of women who had slept rough in the past year had experienced domestic abuse since age 16, underscoring the emphasis on trauma‑informed support and women’s safety within local bids. (gov.uk)
The measures sit alongside structural tenancy reform. The Renters’ Rights Act received Royal Assent on 27 October 2025 and is being implemented in stages through 2026, including provisions to end Section 21 ‘no‑fault’ evictions-changes expected to reduce inflows into homelessness over time. (gov.uk)
For councils and VCSEs, immediate actions include stress‑testing proposals against local homelessness strategies, securing the required local authority endorsement letter, and evidencing additionality rather than duplication of commissioned services. Bids that demonstrate co‑location of services, stronger referral pathways, and sustained recovery support once tenancies are secured are clearly in scope under the prospectus. (gov.uk)
Key dates now drive delivery: applications close at midday on 31 March 2026, assessments run in April, outcomes are due in June and initial EHCF payments are scheduled from August. In parallel, the Innovation Programme areas will develop and implement Partnership Plans from April 2026. MHCLG indicates that learning will be shared across the system as models prove effective. (gov.uk)