Labor councilor Rob Crutt, representing Blackhall, told a scrutineering meeting: “We have people being used as commodities and being moved around like pieces on a chessboard. This is an absolute disgrace.
“We’re in the 21st century and we’re looking for clothes that people can wear.
“No one can tell me that there is no suitable housing between London and County Durham that would be suitable for vulnerable people in genuine need. There are concerns about how they could get away with it.”
Councilors also discussed current issues with mixed and vacant housing.
The local authority helped move 59 households into alternative accommodation between April and June and brought 52 long-term empty properties back into use.
But Councilor Joyce Charlton, Independent, said: “How many of our homeless have been forced out by unscrupulous private landlords? It’s just funny. It happens everywhere.”
Member for Tanfield, near Stanley, also said some residents had been hit with no-fault eviction notices from landlords.
Meanwhile, Crook councilor Anne Reed, Independent, said old commercial units were targeted for housing.
She said: “Yes, we need more properties, but is it right to change our retail space to multi-occupant houses? There are concerns.”
Durham County Council is investigating 165 properties for not having a licence.