The current system of exempt accommodation, a type of supported
housing that is used to house a range of people with support
needs, is a ‘complete mess’ that is failing too many residents
and local communities at the expense of the taxpayer, says the
cross-party Levelling Up, Housing and Communities (LUHC)
Committee in a report published today (Thursday).
The Committee’s report calls on the Government to bring forward a
series of urgent reforms for the sector, including the
introduction of enforceable national standards and compulsory
registration, to help boost the quality of exempt accommodation
and support services.
The report also calls for action to close the loopholes in the
current system which “offers a licence to print money to those
who wish to exploit it”.
Exempt accommodation is a type of supported housing that is used
to house a range of people with support needs, such as homeless
people, people who have experienced domestic abuse, prison
leavers, and those recovering from alcohol and drug
addiction.
The Committee’s report recommends that the Government:
- Introduce compulsory national minimum standards for exempt
accommodation, including on referrals, care & support, and
quality of housing
- Give local councils the powers and resources to enforce these
standards
- Require all exempt accommodation providers to be registered
- Create a National Oversight Committee to join-up existing
regulators and mend the current ‘patchwork regulation’ which has
too many holes
- Ensure the providers of exempt accommodation for survivors of
domestic abuse have recognised expertise to provide specialist
support and a safe environment
- Review the system of exempt housing benefit claims and clamp
down on the exploitation of the lease-based exempt accommodation
model for profit
, Chair of the Levelling Up,
Housing and Communities Committee, said: “While there
are many good providers of exempt accommodation, the findings of
our inquiry on the state of exempt accommodation are shocking.
The current system of exempt accommodation is a complete mess
which lets down residents and local communities and which rips
off the taxpayer. The Government must act now to help councils to
tackle this situation and ensure people get the quality housing
and support services they need to move on with their lives.
“The best examples of exempt accommodation highlight quality
housing and specialist services, with proactive staff helping to
support residents. However, in the worst cases support amounts to
little more than a loaf of bread left on the table or a support
worker shouting at the bottom of the stairs to check on
residents.
“Residents and communities are being failed while unscrupulous
providers make excessive profits by capitalising on loopholes in
the system. Recently it has been reported in the media that these
providers have included organised criminal gangs, who use the
system to launder money. This gold-rush is all paid for by
taxpayers through housing benefit. This must change and it is
crucial the Government brings forward reform on a range of areas
including on standards, regulation and oversight, and on funding
to put this right. In our changes we are not asking for any
additional expenditure; we are calling on the Government to get a
grip on the vast sums it is paying out without effective
oversight”.
The report acknowledges the potential impact on neighbours and
local communities of high concentrations of exempt accommodation,
which can attract anti-social behaviour, crime, rubbish, and
vermin. These impacts also risk undermining local support for
supported housing. The report recommends the Government take
forward planning reforms, and close existing exemptions in
legislation, to assist local councils in helping to manage supply
in line with need and to balance with much needed family housing
in local communities.
The report highlights the dearth of data on exempt accommodation
which makes it difficult to determine how widespread the worst
examples are and whether this taxpayer funded system is
delivering value for money. The Committee calls on the Government
to organise, within the next year, the collection, collation and
publication of a range of key exempt accommodation annual
statistics at a local authority level.
In a separate but related development to the Committee’s inquiry,
LUHC Committee Member , Conservative Member for Harrow East, introduced a
Private Members’ Bill (in June) to tighten up regulation and
oversight of the exempt accommodation sector. The proposed
legislation, the Supported Housing
(Regulatory Oversight) Bill is due to receive its Second
Reading in the House of Commons on 18 November.
The LUHC Committee intends to hold a one-off evidence session in
the coming weeks to undertake pre-legislative scrutiny of the
Bill and to hear the views of local authorities, exempt
accommodation landlords and charity bodies on the proposed
legislation.
The LUHC’s Committee’s inquiry followed reports, including from
the West Midlands, of unscrupulous landlords failing to provide
the support and care that vulnerable tenants need, or to maintain
the properties to a decent standard.
ENDS
Editor’s Notes
- The report summary is on p3. A list
of the report’s conclusions and recommendations can be found on
p.45. A list of the public evidence sessions for this inquiry
(and links to the transcripts in each case) can be found on p.60
of the report.