Oral Answers to Questions

Lord Hanson of Flint Excerpts

Monday 24th October 2016 Commons Chamber

[Mr David Hanson (Delyn) (Lab)]

13. What assessment his Department has made of the potential effect on homelessness of the decision to cap housing benefit for supported accommodation at local housing allowance rates.

[The Parliamentary Under-Secretary of State for Communities and Local Government (Mr Marcus Jones)]

The Government are committed to protecting the vulnerable, including homeless people. That is why we deferred the implementation of the local housing allowance rates for supported housing until April 2019. From then on, we will provide a new funding model to meet additional housing costs above the local housing allowance rates.

[Mr Hanson]

That is all very well, but the chief executive of the National Housing Federation has already stated:

“We want to put supported housing on a secure and sustainable footing for the long term and we are not confident that the new system will guarantee this.”

What is wrong with that point of view?

[Mr Jones]

I have met the chief executive of the National Housing Federation and discussed this issue with him at some length. We are giving confidence to the sector that funding will be devolved to local authorities, and that that funding will be ring-fenced. Save for the changes to social rent increases, the quantum of funding to the sector will be the same. The chief executive seemed reasonably reassured on that point.