Residents in Southampton, Hampshire, can now receive up to £2,500 if they choose to move from large council houses into smaller properties. On 24 March 2026, council leaders approved the new voluntary plan to help free up three- and four-bedroom homes for families who have been on long waiting lists for years.
Tenants who decide to move to a smaller home will receive £1,000 for the first spare bedroom they give up and £500 for each additional spare room. The scheme is capped at £2,500 and also provides up to £750 to help cover the practical costs of moving house, meaning a resident leaving a home with three spare rooms could receive the full payment.
To help with the move, the council is appointing a dedicated officer to support residents with the physical steps of changing homes. Residents who want to take part must join the council housing register, known as Southampton Homesearch, to apply for a smaller property that better suits their current needs.
There are currently 8,361 households waiting for a council home in the city, which manages a total of 17,861 properties. Council leaders have emphasised that this new programme is completely voluntary and no resident will be pressured to move out of a home where they have made memories.
The initiative is part of a broader housing strategy for 2026 to 2031, which aims to improve the quality of local housing and support the community. This plan was introduced after the Regulator of Social Housing gave the council a low rating in late 2024. The regulator found that many council homes in the city did not meet the required national standards for safety and maintenance at that time.
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