Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what assessment his Department has made of the adequacy of existing powers to scrutinise financial arrangements between supported exempt accommodation providers, property owners, managing agents and subcontractors when determining eligible Housing Benefit expenditure.
Local authorities are responsible for administering Housing Benefit and determining individual claims in accordance with the relevant legislation. This includes scrutinising rents and service charges, excluding ineligible costs and considering whether rents are unreasonably high.
The Department recognises that complex financial and organisational arrangements can make this scrutiny more difficult and keeps the effectiveness of the Housing Benefit framework under review.
We are also working with the Ministry of Housing, Communities and Local Government to implement measures under the Supported Housing (Regulatory Oversight) Act 2023. The new licensing regime will include a fit and proper person test to ensure that those managing or in control of supported housing are people of integrity and good character, with the relevant skills and experience. This will strengthen oversight of providers and sit alongside the planned link between licensing and Housing Benefit entitlement, helping to ensure that public money supports good-quality, legitimate provision.