The fund is part of the government’s £1.2bn overall investment to tackle homelessness.
The additional homes will help provide a long-term, stable solution for vulnerable families struggling to find secure accommodation.
So far, 11 London boroughs have joined the scheme to provide safe accommodation for families.
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James Brokenshire, secretary of state for housing, communities and local government (pictured above), said that everyone deserved a safe and secure home.
“I’ve seen for myself how hard each of the London boroughs works to provide those that are homeless with the support they need and a roof over their heads.
“This radical new way of working and unprecedented collaboration between the boroughs and government will make a real difference – providing more accommodation for the vulnerable and helping them to get back on their feet and away from homelessness for good.”