Page 11 - Community Living Magazine 30-3

HouSIng

ate last year the IS SuPPorteD
L Government launched
its consultation on the
future funding of supported HouSIng
housing. Prior to the launch,
housing associations were
crying out for clarity on At rISk?
these funding arrangements
to enable them to plan matthew eddisford reports on
for the future with some
certainty and address unmet looming threats to the future of
demand for supported supported housing.
housing. Has the consultation
provided this clarity?
Unfortunately, no. property is an investment paid for over uncertain ring fence), the danger is that
the long term. With no guarantee it will be a race to the bottom in terms
So what are the issues housing as to the longevity of income, of rent levels which inevitably leads to
associations who wish to provide housing associations are again in a compromises on quality. Are we likely
supported housing now face? Catch 22 – halt development and fail to to see the widespread introduction of
meet the very objectives of our being, large scale blocks of self-contained units
Uncertainty over or carry on regardless and jeopardise which provide effciencies on both the
future rent levels the business? Housing associations have housing and support costs? With cost,
The Government have confrmed that to consider the risk if the schemes are to and not necessarily outcomes, being the
an ‘LHA + top up’ rate will be applied fail, ie. the exit strategy. This strategy is key driver, this is a distinct possibility.
to all supported housing rents from not necessarily quite so clear when A mixed portfolio of housing is crucial
April 2019. However, there is no considering highly bespoke housing. to ensure the broad spectrum of choice
indication as to what level of ‘top-up’ Will this result in the housing needs of is being offered.
will be allowed. We understand that the most vulnerable not being met?
the initial fund will be at a level Where will the capital
comparable to current costs – but how come from for much needed
this will be applied is unclear. It also Demand for housing supported accommodation?
fails to take account of the current has arguably never been Under the current framework,
unmet demand and it could turn into a greater and housing supported housing is viewed as a sound
post code lottery, with local authorities associations need to long term investment. We have seen the
who have done little in the preceding continue to step up to the market fooded with interest from
years set to lose out further. Without any mark and provide innovative institutional investors and corporate
confdence over the sustainability solutions in the face of lenders. However, with uncertainty over
of rents housing associations are these challenges. long term income from new schemes
limiting, or even abandoning altogether, and the strength of housing providers
future development plans. to meet their debt commitments,
Protection of existing tenants capital may be withdrawn.
Will a ring-fence The Government have confrmed that
protect funding? the arrangements will be applied to Where does this leave us?
The Government have assured us that a ALL tenants from April 2019, and so There are more questions than answers
ring-fence will be in place to protect this existing tenants will not be protected. to all of these problems as things stand.
pot of money. However, history tells us Existing tenants could see their However, in my optimism I am hoping
this will not offer the necessary entitlements slashed signifcantly which that the Government will realise that
protection to funding in the long-term – could see them fail to meet their rental putting existing tenants at risk and
remember Supporting People? Without commitments or, in some circumstances, causing the abandonment of new
a ring fence in place there is a genuine face the prospect of eviction. supported housing is in absolutely
fear that the supported housing top-up Housing associations may have some nobody’s best interests, ethically or
‘pot’ will be swallowed up by local very diffcult decisions to make around fnancially. I also believe that
social care priorities. What housing the ongoing viability of schemes and fundamental changes like this will result
associations would perhaps rather see providing vulnerable individuals with in innovation and a desire from
is the introduction of statutory duties a home. It is not inconceivable that we housing associations to ensure things
around housing, to strengthen the grip could see swathes of supported ‘keep moving’. Demand for housing has
on this housing funding, but it is accommodation becoming untenable arguably never been greater and
unclear if this has been considered. for associations and/or tenants. housing associations need to continue
to step up to the mark and provide
Addressing long term need A ‘standard’ model of innovative solutions in the face of
Property costs money. Adapted and housing with little regard these challenges.
specialist property costs a bit (or in for the individual
some cases a lot) more money, As local authorities will have a fnite Matthew Eddisford is Chief Executive
and so for housing associations pot of money to work with (and an of Care Housing Association

www.cl-initiatives.co.uk Community Living Vol 30 No 3 | Spring 2017 9