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Future of Supported Housing Funding

Michael Voges Low Res

In a statement last week, Marcus Jones, Minister of State for Local Government announced a new funding model for state-funded supported housing, including extra care housing.

The announcement follows Theresa May’s statement last week that the Government had dropped plans to apply the LHA cap to housing benefit for state funded supported housing, and signals a more positive approach.

We will need to analyse the proposals in more detail, and will be keen to ensure that the new system does cover the real costs associated with extra care housing (including regional variations), which are higher than those required for sheltered housing

Nevertheless, this week’s announcement was welcome, demonstrating that the Government has listened to many of the concerns that ARCO and other sector bodies raised with them over the last two years.

In particular, the commitment to keep funding for extra care within the welfare system in order to provide certainty and allow for future demand is significant. The obligation on local areas to assess and plan for the needs of each older people requiring different housing types may also turn out to be beneficial to the sector.

ARCO will be engaging with members on the full detail of these proposals over the coming months. This will feed into our response to the consultations which will close on 23rd January 2018.

michael Signature

Michael Voges

Executive Director, ARCO