The council is to stop sending homeless people to a city centre hotel to make savings as it sees costs soar.

The Charles Rennie Mackintosh Hotel, in Union Street, will be “decommissioned” and people moved out over a three-month period.

The move is in response to rising costs for emergency accommodation.

READ NEXT: Orange lodge asks to re route Glasgow march after protest threat

Conditions at the hotel have been criticised previously by people housed there but the decision is based on finance.

The plan will be implemented over a three-month period and to start with, the council will reduce the number of people it sends there and find alternative accommodation for those currently at the hotel.

It is estimated that £3.6m could be saved over nine months.

The Rennie Mackintosh will be used as a template for replicating the model with other hotels as the council looks to end the use of hotels and B&B.

There are currently more than 700 homeless people in hotels across the city and efforts to move them on depend on securing enough flats from social landlords.

However, the Health and Social Care Partnership recognise that there are risks with decommissioning the hotel for homeless use.

READ NEXT:Funds for councils should be targeted at poorer areas: Susan Aitken

It has been noted that given the financial pressures facing the homelessness services which is expected to see a £16m overspend action needs to be taken.

In a report, Pat Togher, chief policy officer said: “Given the level of demand for emergency accommodation there is significant risk to the HSCP in reducing in the use of B&B places to the levels envisaged.

“Despite all attempts to mitigate risk as detailed there remains a risk that Glasgow Homelessness Services will breach statutory duties to provide emergency accommodation.

“There is also an increased likelihood of rough sleeping and hardship for service users, reputational damage and potential judicial sanctions and additional costs.”

The risks to those currently in the hotel will be managed similar to when the council stopped using the notorious former Bellgrove Hotel in Gallowgate before it was sold and demolished to make way for flats.

It is understood the Charles Rennie Mackintosh was chosen as it houses a large number of people and savings can be maximised and there are other hotels in the city centre used as emergency accommodation, including the Alexander Thomson and St Enoch Hotel.