*As estimated by Fat Macy’s, and based on an extremely strict budget.

Temporary accommodation is rarely temporary.

At the end of 2024, there were 127,890 households living in temporary accommodation in England. 

Residents in hostels and other supported temporary accommodation face a financial cliff-edge when they work over a certain number of hours. If they work more, they rapidly lose their housing benefit and must pay high rates of rent or service fees. Some supported temporary accommodation providers do not allow residents to work more than part-time hours, meaning working more can lead to eviction.

This catch-22 forces residents to choose between risking rent arrears or eviction, or working minimal hours at the cost of saving a rental deposit. The benefits trap creates a situation where people are incentivised not to work – and often end up worse off if they do.

Fat Macy’s has found a way around this

Our unique approach gives people living in temporary accommodation a pathway to secure a rental deposit for a home without having their benefits cut, combined with the support they need to sustain their tenancy.

By helping adults who have experienced homelessness into fulfilling employment and long-term accommodation, we break the cycle of homelessness created by the benefits trap.

The Milestone Programme combines hospitality and employment training, work experience, and holistic 1:1 support.

As trainees progress through the programme, they can access £300 in Milestone Grants to help remove barriers to employment, such as having ID. At the end of the programme, trainees can apply for a £1,500 Move On Grant, to contribute to a deposit and first month’s rent. Graduates also receive a further £200 grant to cover moving costs. In total, trainees can access up to £2,000 worth of grants to support them on their journey from hostel to home.