The Local Government Association (LGA) has found that providing
supported housing for older people and people with a learning
disability or mental health needs could mean significant savings
for the public purse.
Supported housing is accommodation where residents receive
support, supervision or care. The LGA said that appropriate
supported accommodation could have significant savings across the
public sector, with supported accommodation shown to reduce the
likelihood that residents will go into hospital or residential
care and also reduces re-admission.
In a series of case studies, published by the LGA today ahead of
the Autumn Budget, councils highlight the huge social value of
supported housing to communities and individuals. Not only do
these services save money, they allow people to access the
support they need to live a fulfilling life.
For example, a scheme in Bradford showed a saving of up to
£47,000 per person to the NHS. Another scheme in Medway has
helped 151 people with complex needs access employment or
training over just 9 months.
However, due to years of cuts and the loss of ring-fenced
funding, supported housing exists on a knife edge with the
current funding regime encouraging unregulated supported housing
which has significant quality concerns.
Ring-fenced funding ended in 2011, leading to a reduction in
spending on supported housing and a decline in standards due to
an increase in non-commissioned providers.
The LGA's Budget submission calls on the Government to spark an
investment in the preventative services which are essential to
allows people who draw on care and support to live the lives they
want to lead, with more dignity and independence and to avoid
spending more later when people's needs escalate.
While the Supported Housing (Regulatory Oversight) Act 2023 will
go some way to helping, the LGA is calling for government to use
the Autumn Budget review how they fund supported housing and
consider a specific housing support fund so that long term
investments can be made by councils and savings can be made
across the public sector.
Previous analysis has suggested that investing £1.6 billion in
supported housing would have savings of over £3.4 billion.
Supported housing is only one part of preventative care and
support that will keep healthy and independent. Adapting people's
homes, investing in community support and reducing isolation and
loneliness are just a few more of the things we can do to allow
people to live an equal life.
A recent LGA survey found that almost a third of councils aren't
confident they will meet their duties under the Care Act next
year, meaning that a significant uplift in funding is needed in
order for councils to meet their statutory duties. Investing in
preventative care would reduce costs in the long term, for both
councils and other public services.
Cllr David Fothergill, Chairman of the LGA's Community Wellbeing
Board said:
“Supported housing plays an enormous role in ensuring people who
draw in care can lead the life they want to live. Suitable homes
mean people can live more independently and participate
meaningfully in their communities.
“As well as this, high quality supported housing means astounding
savings across other public services. Councils need a
sustainable, long-term funding regime for these projects, to
allow councils to invest in solutions that deliver a net-good
across local services and meet local need.
“But supported housing is just one element of prevention. A new
focus on preventative care and support is crucial in order to
provide better services and significant savings across services.”
Notes to editors
Case studies
Kirklees: Helping those
leaving prison and under treatment for substance abuse get
tenancy ready
Bradford: Helping reduce
hospital delayed discharges
Medway: Addressing
increasingly complex needs
North Somerset: Respite
service promoting independence for people with learning
disabilities
West Midlands: Helping
turn around young lives
