Government figures showing a 71 per cent drop in the number of people sleeping rough in England over the past three years are encouraging but fail to include the "hidden homeless", charity groups said yesterday.
They said the statistics did not take account of the thousands sheltering in squats, bed and breakfasts and hostels - many of whom return to the streets.
"No one should believe homelessness has been solved," said Ms Vindy Bains, a spokeswoman for homelessness charity Crisis, which estimates there are 400,000 such "hidden homeless".
The government's Rough Sleepers Unit reported about 530 people living on the streets, down from 1,850 in 1998, meaning the government was early in reaching its target of reducing the number of rough sleepers by two-thirds by 2002. Ms Louise Casey, head of the unit, said the result was "due to the hard work and determination of charities, local authorities the public and others".
She rejected suggestions the figures were manipulated by ensuring people were taken off the streets by moving or arresting them on the nights in late October and early November when official counts were taken.
She called the arrest claims "complete and utter nonsense", adding that independent people participated in the head counts to ensure they were done correctly.
Both Crisis and the homelessness charity Shelter called for a review of such claims. They said an increasing number of families were living in temporary accommodation.