Recommendation 2

Exempt accommodation—an expanding sub-sector of short-term supported housing that can be of poor quality—has little regulation or oversight so leaving vulnerable people unprotected from unscrupulous providers. We echo the strength of feeling and view of the Levelling Up, Housing and Communities Committee in their report on exempt accommodation (mostly short-term supported housing that is exempt from locally set Housing Benefit caps), which described this part of the supported housing sector as a “complete mess”, and a “goldrush” for unscrupulous landlords. The Local Government Association has told us of an increase in vulnerable people being housed in poor-quality houses of multiple occupancy, with unsuitable or no additional support provided. It feels that this has had a significant, detrimental impact on vulnerable people. DLUHC recognised that the sector “is not working as well as it should” and that the Supported Housing (Regulatory Oversight) Bill (which has since received Royal Assent) would bring in important reforms. The Act focuses on exempt accommodation and includes a range of measures that aim to drive out rogue providers and improve the quality of supported housing. But we are concerned about local authorities’ capacity to deal with the new responsibilities under the Act. We understand that DLUHC will assess whether local authorities need new burdens funding to help with costs. However, local authorities continue to be under severe financial pressure and, as a result, may struggle to take on new duties. Recommendation 2: Alongside its Treasury Minute response, DLUHC should write to the Committee outlining progress with its consultation with local authorities and set out its early thinking on how it intends to support them to implement the Act effectively, improve short-term supported housing and protect vulnerable residents. 6 Supported housing