Policymakers in Britain today face a perfect storm: on the one hand, rising inflation and limited funds for public spending; on the other, a desperate need for better public services and long-term growth.
At such a time it is particularly important that government identifies smart investments - ones that make an immediate difference to people's lives, while also saving money over the long term.
Supported housing – in which people are given a place to stay alongside specialised support, supervision or care – is one such smart investment.
Yet a lack of understanding of the role it plays has seen real-terms funding chipped away to the point where providers are struggling to keep services going.
At Riverside we are fortunate that none of our services are under threat. However, Homeless Link is campaigning for an inflationary funding increase for commissioned services with members warning that without this the sector ‘was likely to face mass closures.'
Homeless Link's research found that 92% of Registered Providers - the vast majority - were worried that the cost of living would affect their ability to maintain service and support standards.
A new report called ‘Ultimately other services close at 5pm', commissioned by the National Housing Federation and 13 NHF members including Riverside, aims to turn the tide.
It provides the first comprehensive evidence base of how important supporting housing is in getting people back on their feet and preventing socially and economically ruinous outcomes.
The report found that without the supported housing sector, homelessness would increase by 41,000 a year, and our health services would need to provide an extra 14,000 psychiatric inpatient places costing £170,000 each per year. The UK also would need a further 2,000 prison places, costing £32,700 per year, simply due to licences or court orders being revoked.
But these potential costs are only one side of the coin.
The other is the gains: supported housing is, in the words of the report, providing ‘life changing' help to the people it serves.
The report suggests that 70,000 people living in supported housing have been helped to register with a GP, 62,000 helped to attend health appointments more consistently, and 36,000 given access to diagnosis and treatment for mental health conditions.
And this help works: each year an estimated 50,000 people in supported housing, many with a background of homelessness and rough sleeping, are successfully supported to move on to live independently in more traditional accommodation.
This reflects Riverside's experience. Our own statistics show that more than four-fifths of people (83%) successfully moved on from homelessness in 2021/22 after staying in supported accommodation and shelters for up to 24 months.
Why, then, has funding for supported housing been reduced over time, rather than increased? Why are so many providers considering closing their doors?
Partly this is because provider contracts have not been adjusted to account for soaring inflation. Partly it is because of wider cuts to local government budgets that mean resources have been shifted to the highest-need individuals.
Partly it is because all this has been left for local councils and local providers to sort out, when it should be a properly financed national priority.
Supported housing doesn't exist in a vacuum, and cuts to local government - and housing provision generally - have acted as a constraint on its already significant contribution.
Another key finding of the report is that more than half of the people deemed ‘ready to move on' from supported housing are being effectively ‘blocked' by a lack of suitable move-on accommodation. No wonder the report talked of the ‘huge and as yet not-fully-realised' potential of supported housing. It is already doing so much. In a better-funded housing and social care ecosystem, it could do so much more.
If supported housing offers a solution which is both cost-effective and demonstrably helping tens of thousands of people a year to live independent and productive lives, why isn't it getting more support?
The reason, I suspect, is a lack of understanding about what supported housing does and what it achieves. The calm and quiet approach the sector takes - winning incremental but vital improvements to often chaotic lives - has meant that we are seldom recognised for the contribution we make. This low profile has resulted in a chronic lack of focus from government and investment, but ultimately it is up to us as service providers to boost its profile and champion the sector.
It also tends to be seen as ‘just a housing issue'. Yet anyone who thinks about supported housing for more than a moment - about the services it provides to improve mental and physical health, prevent criminality and get people ready for work - knows it is the very definition of a cross-cutting issue. The benefits of supported housing need to be calculated across departments - and across departmental budgets.
These are difficult times. Public finances are tight, and the rising cost of living means increasing numbers need to call on the state for support. We need to rise to that challenge - not take refuge in false economies.
This will require everyone to play a part - government, local government and the supported housing sector itself. Riverside will bring all parties together at a series of events in May to discuss the findings of the report and how we can use it to influence decision makers and make the case for much needed investment.
We need real strategic vision, not short-term siloed thinking. Hopefully this new report shines a light to a better path ahead.
John Glenton is executive director of Riverside Care and Support
