Councils to be given enforcement powers to drive up standards for residents
The government has opened a consultation on how best to operate its supported housing licensing regime designed to improve standards for residents and minimise burdens for providers.
Running for eight weeks from 15 October 2026, the consultation is seeking views from stakeholders such as councils, supported housing providers and residents on whether the proposed regulations will be effective in protecting tenants while remaining deliverable for local authorities and proportionate for providers.
It covers the structure and operation of the regime, including the scope of licensing and exemptions, application and enforcement processes and how it would operate in practice.
Once brought into force, the Supported Housing (Licensing) (England) Regulations 2027 will require anyone who controls or manages supported housing to hold a licence, which will be valid for five years. Applicants will have to meet “fit and proper person” criteria, covering character, financial and criminal record checks.
Specific types of housing, such as designated social housing for individuals aged 55 or older, almshouses, and accommodation provided directly by local authorities, can apply for a formal exemption from licensing requirements
Licence holders will be subject to ongoing compliance conditions, including maintaining accommodation that is safe, clean, accessible, and free of Category 1 hazards. A formal needs assessment will have to be conducted for each resident within four weeks of moving in, and any care provided must be registered under Part 1 of the Health and Social Care Act 2008.
Those found in breach of the law could be subject to enforcement mechanisms such as improvement notices, civil penalties up to £40,000 for non-compliance and rent determinations capped at 80%.
This morning, BBC Panorama reported that some private companies are “making huge profits and exploiting the welfare system by receiving housing benefits on behalf of residents but failing to give them the support they are required to”.
It said the supported exempt accommodation system, which would fall under the new regulations, can be exploited by poorly‑run providers operating with minimal oversight. Panorama highlighted cases where councils had to intervene after finding unsafe living conditions and inadequate support, including one provider whose licence was revoked following repeated failures to meet standards.
The Supported Housing (Regulatory Oversight) Act 2023 established a new framework for the regulation and oversight of supported housing across England.
In 2025, the government consulted on the design of the licensing regime, along with new national supported housing standards and proposed housing benefit changes.
A response published this April confirmed the government’s intention to push ahead with a locally led licensing regime in all local authority areas to give councils new enforcement powers to manage supported housing.
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