Supported housing cap lower than actual costs, charity warns

Plans to cap benefits for those in supported housing by the government could fall short of actual costs by £80 per week, research shows.

Rethink Mental Illness has examined how the cap would affect people with mental illness living in supported housing. In some cases, it found that the government’s estimates were £80 a week lower than the actual cost.

The charity warns that this will force local authorities to provide a local ‘top up’ fund to those who are vulnerable, and cause a significant hardship for those in need of the greatest level of support.

The charity is calling on the government to drop the proposed cap and instead find a ‘fit-for-purpose’ funding model.

Brian Dow, director of external affairs at Rethink Mental Illness, said: “The future of supported housing is in serious doubt because of government plans to radically change how it’s funded. Our new research demonstrates that under existing plans, those with the highest support plans will no longer have the guarantee of their rent being met by housing benefit.

“This could spell disaster for people with mental illness and the pubic services that support them.”