Letter warns supported housing reforms could force providers to close

Providers faced “wasteful duplication of reporting” on regulated areas; schemes could face a local backlash if key decisions were devolved; and services such as sheltered housing could be driven out of the market because of a “lack of clarity” on their role, they said.

The group also called for a national framework to ensure that new rules are applied consistently across regions, and said licensing should recognise the person-centred nature of supported housing.

They took aim at last month’s Spending Review, claiming it was a “missed opportunity” to put in place specific guarantees for supported housing.

They called for extra funding to make sure providers can meet the costs of the new regulations amid the intense financial pressure on the sector, which caused a third of supported housing services to shut last year.

“Ultimately, it is vulnerable residents who will lose out if reforms cause good-quality, affordable supported housing to close,” they wrote.

“Without supported homes, there is often no option for residents but homelessness, moving to an institution or to unscrupulous or expensive providers, which would undermine the purpose of the [Supported Housing (Regulatory Oversight) Act 2023].”

They added: “By working together with the sector on the proposals, the government can create a more proportionate and effective regulatory framework that protects good supported housing providers while still taking the robust approach to unscrupulous providers that we all want to see.”

In February, the government launched a consultation on how it will roll out measures in the act. Changes include new national standards and a locally led licensing regime for this type of housing in England.

However, in May, the National Housing Federation (NHF) raised serious concerns about the government’s plans. The membership organisation for housing associations put together the new cross-sector letter, which was sent to Rushanara Ali, the minister for homelessness, and Stephen Timms, the minister for social security and disability.

Signatories to the letter include the NHF, professional body the Chartered Institute of Housing, charity Homeless Link, the Royal College of Psychiatrists, and membership organisation the National Care Forum.