WINCHESTER civic chiefs are poised to spend £2 million on buying two hostels used by people threatened with homelessness.

The city council wants to buy Milford House and Gordon Watson House in Christchurch Road, St Cross.

Its current owners First Wessex want to sell the supported housing which houses 35 people many of whom have previously been living in the Nightshelter.

The Cabinet approved the purchase of the freehold, subject to full approval by Council next Thursday, which will be a formality.

Cllr Caroline Horrill, portfolio holder for housing, said: "We have a keen duty to address homelessness. Without Milford and Gordon Watson House we would have a higher reliance on bed and breakfast.

"We don't currently use use BnB at the moment. It is very expensive. We are concerned this accommodation would be lost hence our desire to purchase the property."

Head of estates Kevin Warren told the Cabinet the costs would "£2 point something million which is a very fair price. There is the possibility expand if the council has the desire."

Mr Warren said Milford House was in "tip top" condition and that First Wessex had spent "more on it than it is worth." Gordon Watson House would need work and some £150,000 has been set aside.

A further report will go to Cabinet Housing committee in March on how it will be managed.