The capital will receive the largest share of the £84m being distributed to councils across England.
Of the £36.5m, measures to prevent rough sleeping will receive £28.4m, £7.1m will help families with children in temporary accommodation, while £960,000 will go on drug and alcohol treatment for people sleeping rough or at risk of homelessness.
London Mayor Sir Sadiq Khan welcomed the investment, saying it would “support our Rough Sleeping Action Plan, external and work with London Councils to stop people becoming homeless”.
“I have always been clear that no one should have to sleep rough on our streets,” he said.
“I will continue to work closely with the government and partners to ensure those most in need receive the support they deserve.”