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The number of homeless people in Peterborough is expected to rise next year, according to a new study.

The report going before councillors predicts that cuts in housing benefit will lead to families move from inner London to cheaper homes in the city.

Officers also fear changes to migrant workers' rights in May could put pressure on accommodation.

A council spokeswoman said talks were under way with welfare organisations to assess the impact of homelessness.

Job losses could also lead to a rise in home repossessions, the report said.

The council spokeswoman said: "We will be working with all landlords in the city to make them aware of the changes to benefits and the likely impacts on their business.

"We are currently exploring what incentives can be offered to landlords to encourage them to adjust their rents in line with the new rates.

"In Peterborough, we have been working with the British Red Cross for some time to assess the impact these changes would have on the city.

"Our neighbourhoods team, welfare benefits team, New Link services and housing providers are putting together an action plan on how we can best deal with any issues as a city.

"This work is being shared regionally as Peterborough is seen to be ahead of other areas on this work."

Welfare organisations such as Peterborough Streets said the new benefit rates would make it more difficult to obtain suitable accommodation in the private sector.

As a result the city council is expecting to experience an increase in the number of people approaching the housing needs team for advice and assistance.