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Finance & Funding

Funding Intensive Housing Management

Many of you will know what “Intensive Housing Management” is. It’s a term that the old Housing Corporation in England used to describe the additional housing management services that people in supported housing often need. Intensive Housing Management services were funded by the Housing Corporation through a revenue grant known (latterly) as SHMG (Supported Housing Management Grant) some of which was often paid on by RSLs to their specialist agency partners that typically manage the RSL’s supported housing.

The set of prescribed intensive housing management services was defined in hardcopy in the Housing Corporation’s “Guide to Supported Housing”, before the age of the Internet. There is a similar list you can gain access to online here: in Scottish statutory instruments 2002 number 444 with its list of “Prescribed Housing Support Services” in Regulation 3.

The revenue funding streams for intensive housing management were put into the Supporting People pot in 2003, to help fund what became known as “Housing Related Support”. And that, you might think, was the end of that.

Except that it wasn’t. Supporting People begin to retrench very quickly. In 2005 Michael Patterson and Danny Key teamed up to identify and promote a regulatory means of mitigating providers’ losses of Supporting People revenue, by claiming the cost of eligible Intensive Housing Management tasks from Housing Benefit. This involves the use of the Exempt Accommodation route to enhanced levels of Housing Benefit. 

Over time this led to a substantial number of eligible providers (housing associations and voluntary agencies namely) being able to claim enhanced levels of Housing Benefit for the costs of the eligible housing management tasks Supporting People no longer funded.

Michael Patterson renamed these eligible housing management tasks as “Intensive Housing Management”, a term which has returned to the language of supported housing, bringing with it a substantial pot of revenue known as enhanced Housing Benefit, which continues to exist to this day.

We are cautious who we work with, especially given the large numbers of new, unregulated supported housing services being set up. As someone with a values base I commend the “Exempt From Responsibility?” report written by Thea Raisbeck in November 2019 for Spring/Commonweal Housing, which identifies problems over the lack of regulation of supported housing, and the oversight of the system through which some landlords claimed enhanced Housing Benefit. To put it more bluntly: some unregulated supported housing providers are claiming Housing Benefit but apparently not providing adequate housing or intensive housing management services.

Not all supported housing providers are eligible for intensive housing management funding, but most social supported housing providers are. Rather than go through the criteria for Exempt Accommodation compliance here (but watch this space) just ask yourself these questions:

  • Are you a genuinely social organisation? (For the purposes of enhanced Housing Benefit this means nonprofit)
  • Do you generate value?
    • Outcomes for people
    • Cost-benefit
    • Wider social benefit (Community Sustainment)
  • Do you own or manage supported housing?.

If you can say yes to the above questions you’re likely to be eligible to claim Intensive Housing Management and Maintenance funding. It’s a complex process that requires you (or me on your behalf on a ‘no increase, no fee’ basis) to audit your supported housing and provide a properly optimised rent structure that can be used to support an enhanced Housing Benefit claim.

If you represent a social supported housing provider and you’d like to discuss claiming enhanced Housing Benefit, please contact me.

It’s also important to consider the likely future funding of Intensive Housing Management and Maintenance, and supported housing in general for that matter. I’ll keep the wider context for a future blog post/briefing but what about the Intensive Housing Management components of supported housing revenue, currently paid as enhanced Housing Benefit?

We should bear in mind both the implementation of Universal Credit and the UK Government’s (stalled) “future funding of supported housing” policy agenda.

Universal Credit allows supported housing claimants to have the housing component of their Universal Credit paid by local Housing Benefit teams as enhanced Housing Benefit. The future funding of supported housing policy agenda originally intended to pass supported housing revenue, of which Intensive Housing Management funding is a substantial part, to local authorities but that idea was parked.

Nothing much has happened on the supported housing policy agenda due to the UK Government’s preoccupation with Brexit and the current Covid 19 pandemic. But the UK Government is working on a Social Care Bill, and they would be remiss to omit supported housing from it.

It seems opportune therefore to remind the UK Government and the wider sector that Intensive Housing Management funding needs to stay exactly where it is now – as a flexible component of Universal Credit.

Going back to the “Exempt From Responsibility?” report, and my own briefings going back some years, it’s not just about the future funding of supported housing, important though that is. It’s also about supported housing regulation, it’s about how we define supported housing and it’s about what values base we apply to supported housing.

I’ll be publishing more blog posts and briefings in future you can see and follow my blog site (supportedhousing.blog) Please also follow me on Twitter at @MPattersonLtd