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A return to council housing could be considered in Newport, where “everything is on the table” in attempts to tackle a shortage of homes.

Figures show more than 2,500 households in Newport were estimated as being at risk of homelessness this year.

Cllr Saeed Adan, the cabinet member for housing, said the city council is “exploring all options” to meet growing demand for homes.

At a council scrutiny meeting, officers said Newport has improved efforts to prevent homelessness, and was accommodating 169 rough-sleepers in January – up from 71 at the beginning of the financial year.

They said the local authority had halved the number of families in temporary accommodation over the same period, but also warned of a steady increase in the number of single men requiring urgent support.

Head of housing David Walton said nearly three-quarters of the 553 people in temporary accommodation were single adults or couples without children.

Cllr Allan Screen described the situation as “very challenging” locally and nationwide, and asked whether it could be improved by the council holding its own housing stock.

Half of Wales’ local authorities no longer provide council housing, with registered social landlords (RSLs) typically fulfilling that role.

Cllr Adan said “everything is on the table right now” as the council weighs up various options to tackle accommodation shortages.

Recent papers show demand for temporary accommodation created a budget pressure of around £3.1 million this year – and the council indicated it would tackle this by “increasing the supply… across the city”.

Mr Walton said work was under way on developing a new housing prospectus for Newport, which will set out the city’s housing needs for the next two decades.

The prospectus will help the council and RSLs work out which types of accommodation are most needed.

Newport is also looking to meet housing demand by taking part in the Welsh Government’s Leasing Scheme, through which local authorities act as bridges between tenants and private landlords to secure long-term rental deals.

In line with Welsh Government aspirations, Newport Council’s ongoing work to prevent homelessness is designed to provide a “holistic and preventative” service which helps people “move rapidly into sustainable homes with appropriate support where required”.

Mr Walton said the council had brought in new policies to better manage temporary accommodation, which should only be an urgent solution to homelessness.

Cllr Janet Cleverly raised concerns about the length of time some people stay in temporary accommodation, sharing the experience of one man whose mental health “really went downhill” due to problems with fellow residents.

Mr Walton explained the council has a duty to continue providing temporary accommodation to each person or household until it can make a suitable offer of accommodation.

The length of stay was “really dependent on the client group or the size of the household”, he said, adding: “This is why we are so focused on prevention.”