The number of people sleeping rough in the inner city has climbed to 346, the City of Sydney's latest count shows, representing a 24% increase on last year's figure.
More than 100 volunteers walked the city's streets and parks in the early hours of Tuesday 25 February for the yearly summer count.
Beds in government funded crisis accommodation were at almost 98% capacity, with access to accommodation becoming increasingly difficult. About 18% of people sleeping rough were not Australian residents, making them ineligible for social or crisis housing and specialist homelessness support.
The results of the count come as Lord Mayor of Sydney, Clover Moore AO announced the City of Sydney's commitment to making a significant financial contribution to an organisation providing crisis accommodation to people with complex health needs. This contribution, along with the NSW Government and Bridge Housing's contribution, will urgently increase the amount of local accommodation for people needing immediate help.
"In a city as wealthy as Sydney, rising numbers of people without a bed to sleep in or a safe place to call home in is unacceptable," the Lord Mayor said.
"Tackling homelessness is the NSW Government's job and ultimately, we need more safe, supported and accessible permanent housing options for people who have slipped through the cracks.
"In the meantime, we're doing everything in our power to get people who are sleeping on the streets the help they need.
"We hope that our grant, along with the NSW Government's contribution, will assist the Haymarket Foundation's move to a new property where it can continue and build its intensive support for people at risk of homelessness that other services struggle to help – including people with multiple mental health needs, drug and alcohol issues, trauma, disability and HIV.
"These beds are especially crucial given the pressure public mental health services are under and the lack of options for people who are not Australian residents, and will provide a stable stepping stone to long-term housing.
"We'd like to see much more accommodation like this across the city."
The City of Sydney was the first council in Australia to set up a dedicated homelessness unit and has held street counts to track the numbers of people sleeping rough in the local area for many years.
These results enable the City of Sydney and others to measure the impact of strategies that address homelessness in the inner city.