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At Switch, we provide comprehensive property management and accommodation solutions across the public and private sector.
Our Housing programme is focused on sourcing safe, secure and stable residential accommodation for vulnerable families across the UK. Working in partnership with councils, local authorities and landlords, we’re proud to help address the UK’s affordable housing shortage.
Leveraging our track record of service excellence and hospitality expertise, Switch Housing is committed to moving those most in need out of temporary accommodation to enhance their quality of living, while increasing cost efficiencies for local councils.
In August 2024, we were introduced to a London Borough, which had numerous issues with its temporary accommodation provision. 250 families had been allocated rooms in various budget hotels across the borough, but fluctuating nightly rates provided little to no cost certainty.
Due to the nature of the hotels, guests had limited facilities. Families were moved to a different location every four weeks, with the local authority employing a team to manage the monthly changeovers.
On top of this, there were no reports or records of residents from the hotels. This meant it was difficult for the authority to manage or track costs, or understand which families were staying in assigned accommodation.
In reviewing the monthly spend in the period between January to August, we found that the room rate was 25% higher than the expected rate, resulting in a budget overspend of £1million.
Switch agreed a 12-month contract with the local authority to source and manage a longer-term accommodation solution for vulnerable families, which would include basic facilities like a shared kitchen, on fixed payment terms. This not only offered greater budget stability, but would provide an improved quality of living for residents.
The programme was agreed at the beginning of September 2024, and within the month, all families had been relocated into three new hotels, utilising Switch’s central booking system. These had a fixed rate per room and featured additional services, including:
· weekly cleaning of all rooms;
· provision of fridges in all rooms;
· shared kitchen and lounge facilities for resident use; and
· laundrette facilities or discounted facilities in the local area.
Hotels were required to comply with enhanced Health & Safety standards, which are set and managed by Switch, and agreed to complete a weekly inspection of all rooms and remedy any reported issues.
We worked with the hotels to ensure they met these standards prior to residents’ arrivals, and committed to a minimum staffing level 24 hours a day. We also secured fixed payment dates for each hotel, in a move away from previous credit card pre-payments.
This contract has enabled us to increase efficiencies by providing a central booking platform and a direct booking line. Regardless of the hotel size or location, we have guaranteed a fixed rate for the local authority, who now benefit from a single payment system via Switch.
The cost certainty has reduced the annual Subsidy Loss per family by £10,000. Spreading the saving across 250 families, the saving is predicted to be around £2.5million with enhanced standards and control.
As part of the programme, we provide the local authority with a weekly update on all guests, in addition to quarterly health & safety inspections and resident feedback reports.
Following a review at the end of October2024, we have received excellent feedback from partner hotels. The local authority has also had the opportunity to review their costs, adjusted to factor in with new hotels.
In the period 2023-24, reported net spending on temporary accommodation rose by more than 80% in real terms, compared to2018-19. As demand for housing continues to grow, we are proud to be providing our expertise in collaboration with local authorities to create tailored solutions that increase their financial viability.
Most importantly, our work has enabled families in need to enjoy a more secure, stable and safe environment to call home.
To find out how we can work together, contact Mikey Grewal: mikey.grewal@swhm.co.uk