Families claiming housing benefit who have been unable to afford private rents in Westminster have been shipped by the local authority up to 30 miles outside the capital.
They have been offered accommodation in Grays, Essex; Maidstone, Kent; Bletchley, Bucks; and Hemel Hempstead, Herts.
Labour councillors have blamed a recent rise in homelessness on new benefit caps which they say prevent families receiving Local Housing Allowance from finding affordable accommodation in the private rented sector.
Councillor Guthrie McKie, Labour spokesperson for housing, said: “Here is clear evidence that the housing benefit caps are hitting the poorest families who cannot afford to pay market rents for accommodation in the private rented sector.
“These families are now being shipped up to 30 miles away from their local communities, families and friends. The high cost of travel will make it difficult to maintain these vital contacts.”