Volunteers are counting the number of homeless people in Vancouver on Monday and Tuesday. (CBC)

The preliminary results of Vancouver's recent homeless count appear to suggest that the number of people living on the streets has dropped by nearly 50 per cent in the past two years.

But Mayor Gregor Robertson warns that could change suddenly if several emergency shelters are forced to close at the end of the month when their provincial funding runs out.

"The preliminary numbers from the homeless count show that although the City's support for temporary shelters is helping to get people off the street, there is still a lot of work to be done to create housing," said Robertson.

'When the homeless have a safe place to sleep and nutritious food, we clearly see the stability and improvement in their lives," —Vancouver Mayor Gregor Robertson

"The shelters are working but we urgently need new housing, both interim and permanent, to seriously reduce the number of people who are on the street."

According to the figures released on Thursday, there were 428 people found living on the streets of Vancouver during the count on March 23, versus 811 found on the streets during a similar count in 2008.

But the survey also suggested the number of people staying in shelters has risen 74 per cent, from 765 in 2008 to 1334 in 2010.

Funding for shelters at risk

City staff credited the seven temporary shelters opened by the city and the provincial government as the reason more homeless people are spending the night indoors.

But the report also warned the number of homeless on the streets could nearly double, if funding for the shelters is not extended at the end of the month.

"If these additional shelter resources are eliminated on April 30 when the provincial funding ends, and there is no new adequate housing ready to receive those individuals, there will be an additional 500 individuals back on the street overnight," said the report.

The report also said the number of people without permanent homes continues to grow, rising about 6 per cent per year over the past two years.