MP, Labour’s Shadow Secretary
of State for Housing, responding to
the release of a new consultation on funding supported housing,
said:
“After two years of pressure from Labour and housing
charities, it’s back to square one for the Government on
supported housing with yet another consultation.
“The confirmation that the Government has dropped the crude
local housing allowance cap as Labour called for last week in the
House of Commons is welcome, but there are still big unanswered
questions.
“If Ministers are to make up for two unforgiveable, wasted
years, they must now come clean on the £500m in cuts for
supported housing planned for April 2020.
“After twice getting it so badly wrong, it is important
Government now works closely with the housing sector and with
Parliament to protect the long-term future and funding of
supported housing.”
Ends
Notes to editors
· The
government’s consultation on a new model for funding supported
housing has been published today: https://www.gov.uk/government/publications/funding-for-supported-housing
· It
follows the backtracking by the Prime Minister last Wednesday
ahead of Labour’s opposition day debate. The new proposals adopt
Labour’s call to scrap the Government’s previous plan to cap
support for housing costs at the ‘local housing allowance’ – the
rate of housing benefit in the private rented sector.
· Proposals
to reform the funding of supported housing were first announced
in November 2015, and then – following pressure from Labour and
the housing sector – new proposals were announced in September
2016, making the consultation proposals announced today the
Government’s third attempt to find a new model for funding
supported housing.
· According
to Treasury documents, the government’s previous plans pencilled
in over £500m a year of cuts to supported housing from April
2020. It is unclear from the Government’s consultation document
whether these cuts will go ahead or not.
