People who are homeless are being given rooms at city hotels in a bid to avoid using neighbouring bed and breakfast facilities.
The latest council policy is to keep homeless individuals, couples and families within Milton Keynes when possible.
This means the council negotiates a rate for rooms in hotels such as the Campanile, Milton Keynes Hotel and even, if necessary, the Hilton.
Cabinet member for housing, Conservative councillor Edith Bald, said: “If we can get affordable rooms at the Hilton then we will put homeless people in the Hilton – or any other hotel for that matter.
“When you have people in a desperate situation then putting them out of area is a last resort. What we need is more affordable housing.
One owner of a large hotel told the Citizen: “I have dozens of rooms and I let the council use six or seven. We all do it.
“But the council are always wanting more. I could fill all my rooms up with homeless people if I wanted to.”
Last year the council spent £1.2 million on hotels and bed and breakfast accommodation, claiming 25 per cent of the cost from the Government. There are currently 72 being occupied by homeless people.