The report highlights an alarming rise in demand for temporary accommodation, with the number of households relying on it increasing by 176% since 2017. Last year alone, the Housing Executive spent nearly £39 million on temporary housing.

Ms Armstrong, who is Chair of the All Party Group on Homelessness said: “The findings of this report are deeply concerning. The continued reliance on expensive and unsuitable temporary accommodation is evidence of a housing system under severe strain. The Housing Executive’s own figures show a need for nearly 25,000 new social homes by 2028, yet housebuilding is falling far short of this target. Meanwhile, thousands of families are left waiting indefinitely for a permanent home.

“We as a party have long championed a preventative approach to homelessness, as outlined in our policy paper ‘A New Deal for Renters’. We need urgent reform, including greater investment in social and affordable housing, stronger protections for private renters, and better support to prevent people from losing their homes in the first place. The recently published Housing Supply Strategy by the Communities Minister fails to prioritise ending homelessness, and leaving the issue up to the NIHE to resolve is not working.

“We need a fundamental shift in housing policy. That means reducing reliance on costly short-term fixes and instead focusing on long-term solutions, such as building more affordable social homes, and ensuring fairer access to housing. The Communities Minister must act now to prevent this crisis from worsening.

“Homelessness is not just a housing issue—it impacts health, education, and the economy by extension, and without immediate intervention, the situation will quickly become financially unsustainable. Alliance will continue pushing for meaningful reform, and to ensure homelessness prevention is at the heart of housing policy.”