In 1789, Benjamin Franklin wrote that ‘in this world nothing can be said to be certain, except death and taxes’. However, perhaps we can add to this and say that in society today, governed as we are by law and order, there will always be changes to our laws and procedures as each is tried and tested and found to be wanting in some way.

And so, inevitably, changes are also now imminent to the funding of supported housing affecting many of the organisations and individuals who work in or are dependent upon this type of accommodation. Over the next 4 weeks therefore, we will be providing advice on what changes are anticipated and how these will affect all of us who work in the field of supported housing.

What do we mean by ‘supported housing’?

In a nutshell, supported housing is any housing scheme where accommodation is provided alongside care, support or supervision with the aim of helping people to live as independently as possible in their own community.

There are currently approximately 651,500 supported homes in Great Britain and, at any one time, around 716,000 people living in supported housing. Social landlords are the main providers, with housing associations providing the majority, alongside local authorities and third sector providers. A small proportion is provided by the private sector.

The Government assure us that they believe in supported housing and recognise its vital role in society in protecting those who are most vulnerable. In continuing to support this type of housing, the Government upholds some of their key policy objectives including being committed to tackling homelessness (a problem on the increase in most towns and cities today), poverty and potential abuse among many disadvantaged groups in the UK. Surely too, the Government must maintain a major role in protecting the most vulnerable in society who need this type of housing support.

How much does supported housing cost?

For those of us who work within the field of supported housing, we know that providing supported housing is expensive. By way of example, as at the end of 2015, of a total budget of £6.17 billion, around £4.12 billion of Housing Benefit was spent on meeting housing related costs (i.e. rent and eligible service charges) for supported housing. Around a further £2.05 billion from a variety of sources, including local authority adult social care and housing and homelessness funding, covered support and care services.

Around 79 percent of older people living in supported housing claim Housing Benefit to help to meet their housing costs, as do 97 percent of working-age people in supported housing. The costs are significant therefore.

Rumblings of Reform

In their Autumn Statement 2015, the Government announced their intention to apply the Local Housing Allowance rates to social rents, including supported housing, with effect from 2018. The implementation date was subsequently deferred to April 2019.

In 2016, they also committed to reform the funding of housing costs for supported housing. Since then they have worked and liaised with many from the supported housing sector (including providers, local authorities, charities and academics) to seek to develop a fully sustainable funding model.

From their research, the Government has established that a one-size-fits-all approach will not work and therefore any new funding regime must be tailored to meet what they have identified as the three main types of supported housing:

(1) Sheltered and extra care housing (usually housing which is designated for older people with support needs which helps them to stay independent for longer but clude working-age tenants as well). There is little expectation for tenants to move on into unsupported accommodation in this group.

(2) Short-term supported housing (for those in crisis such as those fleeing domestic violence and homeless people with support needs, or shorter term transitional help for those with substance misuse problems or vulnerable young people, such as care leavers). There is a high expectation for tenants to move on into unsupported accommodation in this group.**

(3) Long-term housing (for those with long-term needs, such as people with learning or physical disabilities, or mental ill health). There is little expectation of move-on for the tenants in this group.

Over the next 4 weeks, we will be advising on why the Government are looking at reforming the funding of supported housing and what their objectives are in so doing. We will also be considering the detail of their proposed changes and how and when these are likely to take effect.

The need to know

All those working in the area of supported housing, especially providers, need to be aware of these forthcoming changes and how they may be affected by them. If you need advice or help in preparing for these changes please feel free to contact us. We offer a free twenty minute consultation to all non-profit making organisations.