Gaps in regulation allowing landlords to provide “substandard” supported housing, spending watchdog finds
An investigation into supported housing by the National Audit Office (NAO) has found that gaps in data and regulation are, in some areas, allowing increasing numbers of landlords to profit by providing “costly, sub-standard housing with little or no support, supervision or care”.
The report notes that current gaps in regulation mean some supported housing providers are receiving “less scrutiny”. And there is “no direct regulation of the quality of support offered”.
The Local Government Association (LGA) has said it shares the same concerns over what it describes as “the minority of unscrupulous landlords” who exploit the supported housing system for financial gain.
Supported housing is accommodation provided alongside support, supervision or care to help people with specific needs to live as independently as possible in the community.
According to the NAO report, one local authority reported to the Committee for Levelling Up, Housing and Communities that in the 345 supported housing units it inspected between April 2019 and January 2022, it found 323 hazards classed as a “serious and immediate risk to a person’s health and safety”.
“A lack of national, central government data on exempt accommodation makes it difficult to assess the scale of the problem”, said the NAO.
The Department for Levelling Up, Housing and Communities (DLUHC) is responsible for the supply and quality of supported housing.
The report notes that the DLUHC has commissioned research to provide an “up-to-date understanding of the supported housing sector”.
In 2022, DLUHC also allocated £20m over three years to 26 local authorities “to help them improve the quality and value for money of supported housing, together with enhancing local authorities’ knowledge of local supply and demand”, said the NAO.
The report notes that a new private members’ Bill aimed at improving supported housing is due to come into force by this summer with government backing.
The Bill, introduced by Bob Blackman MP, will develop national standards, require local authorities to review supported housing in their areas, and enable them to create licensing schemes for exempt accommodation.
The NAO said: “DLUHC has yet to establish how it will support local authorities to implement these new duties, although it has committed to a full consultation.”
Gareth Davies, head of the NAO said: “Better data and regulation can be driving forces behind much-needed improvements in supported housing. Assisting local authorities to ably scrutinise landlords can help raise housing standards for some of the most vulnerable people in our society, who deserve far better.”
Responding to the NAO report, Cllr Darren Rodwell, Housing Spokesperson for the Local Government Association (LGA), said: “We share councils’ concerns about the minority of unscrupulous landlords who exploit the supported housing system for financial gain leaving people living in poor quality accommodation with inadequate support. It has a detrimental impact on people’s lives and adds cost to the public purse.
“We will continue to support the development of the Government’s new Supported Housing Bill to ensure concerns around potential capacity and financial challenges for councils during implementation are addressed.”
Lottie Winson
