Almost 90% of councils believe cuts to housing support ‘will put vulnerable people at risk' and ‘create more costs elsewhere in the system', a new report has revealed.

The findings come from a survey of 139 local authorities on cuts to their Supporting People (SP) budgets - designed to help the most vulnerable people, including older people, the homeless and women at risk of domestic violence, live independently.

Three-quarters of the councils surveyed by local democracy think tank LGiU had seen their SP budgets cut and almost half were making the savings by reducing the levels of service offered.

An accompanying report found councils believe there are major financial and social benefits from investing in these services. It is estimated that for every £1 spent on SP services, councils throughout the UK could save £2.63.

Andy Sawford, chief executive of LGiU, said: ‘All the evidence shows that this (SP programmes) leads to healthier and happier lives, and less cost to the state in the long term.'

The report's recommendations call on national government to prioritise support for local community budgets, and call on councils to recognise the importance of preventative support services.

It also found that councils have been able to combat cuts and mitigate their impact on frontline services through innovative service models.

Bexley LBC had increased the capacity of its SP programme to make contact with clients by more than 30% through offering individual budgets to its users, while Derbyshire CC is developing a payment by results model for their provider organisations.

The report ‘Promoting Independence: the future of housing related support' was launched on 25 October.