The grant has been awarded to Derbyshire Housing Aid as part of the £90million hostels improvement programme which is transforming hostels into modern places of change where homeless people are not just given a bed for the night and a meal but access to training and support to get on with their lives.
National Statistics released today show that new cases of homelessness in the East Midlands have fallen by nine per cent in comparison to the same period last year to 1,340.
Mr Wright also announced that the Department has selected Mansfield and Kettering local authorities (LAs) to be Regional Champions for homelessness. They will help councils draw up plans to prevent and tackle homelessness in the region and provide training to raise the standards of LAs.
Communities Minister Iain Wright said:
"The grants awarded today will kick start innovative schemes in hostels which will help homeless people gain the skills and qualifications they need to build a new career and a life away from the street.
"Today's homelessness figures show real progress in preventing and tackling homelessness. We have invested more than £7million in the East Midlands to fund measures such as rent deposit schemes to help people into the private rented sector and mortgage rescue advice, which is making a real difference. I am pleased to announce today the new Regional Champions for homelessness in the East Midlands who will help all local authorities to raise their standards to those of the best."
Jenny Edwards, Chief Executive of Homeless Link, told us:
"The voluntary sector plays the lead role in helping homeless people make a successful journey away from the streets and to build independent lives. This funding will help homeless people find different and innovative ways - that match their individual talents - to achieve this journey.
"The sector's active partnership with central and local government is the root of the successes seen so far in our drive to end homelessness in this country.We were delighted to administer the Activating Places of Change fund on behalf of Communities and Local Government. We look forward to seeing its contribution to the culture change in our hostels on a national basis."
The government recently outlined plans to significantly reduce pressures on social housing and tackle overcrowding, pledging £8 billion to build 3 million new affordable and social homes by 2020. This includes £6.5 billion in new social housing over the next three years, building 45,000 new social homes a year by 2010 -11 with a goal to reach 50,000 homes per year after 2011.