“We welcome the Government’s move to reform the benefits system so that work genuinely pays for people living in homelessness accommodation.

“Charities like Depaul UK have long argued that young people in supported accommodation should be allowed to keep more of what they earn, and it is encouraging to see that this issue is being addressed.

“If delivered well, these changes could mark a significant step forward, supporting thousands of young people to move into work and out of homelessness.

“For many of the 118,000 young people who turned to councils for help last year, fairer financial support could be the difference between remaining trapped in homelessness or building a stable future.

“However, today’s announcements are overshadowed by yet another delay to the Government’s long-promised homelessness strategy. The absence of a clear, well-funded plan is becoming increasingly damaging. This national crisis demands urgent action. The strategy must include a chapter on youth homelessness, as well as serious investment in prevention and supported housing for people who are homeless or at risk.”