Select committee: Housing, Communities and Local Government Committee

Recommendation 17

Third Report - Exempt Accommodation Published 27 Oct 2022 Paragraph 87 Addressed to Ministry of Housing, Communities and Local Government
Recommendation (the committee's words)
The Government was unable to provide a satisfactory justification, let alone an explanation, as to why DWP reimburses councils for 100% of housing benefit if the provider is registered but only 60% if it is not registered, leaving the council to pick up the rest of the tab. The same 100% subsidy should be paid by DWP whether or not the provider is registered. Later in this report we recommend that all providers be registered. While this will result in increased costs for DWP, this is likely to be offset by savings resulting from implementing our recommendations to drive out unscrupulous, profit-driven providers.

From: Housing, Communities and Local Government Committee, Third Report - Exempt Accommodation (HC 21), paragraph 87, 27 October 2022

Government response

The government responded to the whole report on 27 June 2023 (deadline 27 December 2022).

Summary written by Accountability Index from the government's response. It is not the government's own words.

The government says it "strongly welcome[s]" the Committee's recommendations and is supporting the Supported Housing (Regulatory Oversight) Bill, which it believes, "subject to Royal Assent", will address many of the issues raised.

  • On national standards and licensing, the government says it will "formally consult" with the sector to develop the licensing scheme and national standards for support "as soon as possible after Royal Assent".
  • On mandatory registration of all providers with the Regulator of Social Housing, it gives its reasons, including the risk of reclassification of the sector as public, and considers the Bill's measures "better placed" to provide oversight.
  • On rent caps, it says it "cannot effectively determine a standardised rent cap at this point", citing the complexity and range of housing models in the sector.
  • On data, it says research on the size, cost and demand of the sector will be published "by the end of 2023".

Read the government's response ↗ Report an error