Supported accommodation for care leavers and 16 to 17 year olds
Ofsted registration for 16 and 17 year olds, who pays the rent at each age, Staying Put, the shared rate exemption and how licensing treats youth schemes.
Quick answer
Since 28 October 2023, supported accommodation for looked-after children and care leavers aged 16 or 17 in England must be registered with Ofsted. At 16 and 17, children's services pays for a care leaver's accommodation, not Housing Benefit. From 18, most care leavers can claim Universal Credit or Housing Benefit, and under-25s are exempt from the shared accommodation rate.
The short version
- Placing children under 16 in unregulated accommodation has been banned since September 2021.
- Ofsted registration for 16 and 17 year olds' supported accommodation became mandatory on 28 October 2023, with four quality standards.
- For 16 and 17 year old care leavers, the council's children's services must provide accommodation and maintenance. They cannot claim Housing Benefit.
- Care leavers under 25 can claim the one-bedroom Local Housing Allowance rate, not the shared rate, since 31 May 2021.
- The 2026 licensing response exempts Ofsted-regulated schemes for young people up to 25 where at least one bed is Ofsted regulated.
In this guide
Young people leaving care are one of the groups supported housing exists for. They are also the group where the rules changed most sharply in the last five years, and where getting it wrong is now a criminal offence.
The rules change at 16, 18 and 25
| Age | What applies | Who pays for accommodation |
|---|---|---|
| Under 16 | Must be in a registered children's home or foster care. Unregulated placements banned since 9 September 2021. | Children's services |
| 16 and 17 | Supported accommodation must be registered with Ofsted if the young person is looked after or a care leaver | Children's services, not Housing Benefit |
| 18 to 20 | Adult housing rules apply. Staying Put possible with former foster carers. | Universal Credit or Housing Benefit, with council support |
| 21 to 24 | Personal adviser support continues to 25 on request | Universal Credit or Housing Benefit. Shared accommodation rate exemption applies. |
| 25 and over | Care leaver status mostly ends for benefit purposes | Standard rules |
Ofsted registration for 16 and 17 year olds
The Supported Accommodation (England) Regulations 2023 brought supported accommodation for looked-after 16 and 17 year olds and care leavers into regulation. Ofsted started taking applications in April 2023, and registration became mandatory on 28 October 2023. Running this kind of accommodation without registration is now an offence.
Registered providers must meet four quality standards:
- Leadership and management
- Protection
- Accommodation
- Support
Providers register for the type of accommodation they offer, such as single occupancy, shared accommodation or supported lodgings, and Ofsted inspects against the standards. Ofsted planned to begin inspections from April 2024.
Homeless 16 and 17 year olds who are not in care
A 16 or 17 year old who becomes homeless may not be in care yet. Following the House of Lords decision in the Southwark case in 2009, children's services should assess them as a child in need and may need to accommodate them under section 20 of the Children Act 1989, which makes them looked after. Housing teams should not simply place them in adult hostels. If you get a direct referral of a homeless 17 year old, ask the council whether children's services has assessed them.
Who pays at 16 and 17
Care leavers aged 16 and 17 are excluded from Housing Benefit and Universal Credit housing costs under the Children (Leaving Care) Act 2000. The council's children's services must provide or pay for their accommodation and maintenance. In practice that means a contract or spot purchase arrangement with the provider, not a Housing Benefit claim.
When the young person turns 18, the funding switches. Plan for this months in advance: start the Universal Credit claim, check whether the accommodation will qualify as specified accommodation, and agree with children's services what happens in the gap.
From 18 to 25
Care leavers keep some extra help as adults:
- A personal adviser up to age 25 if they want one.
- The shared accommodation rate exemption up to 25, in force since 31 May 2021, so they can claim the one-bedroom Local Housing Allowance rate in private rented housing.
- Many councils offer council tax relief for care leavers, often to 25. Check the local offer.
- Staying Put with former foster carers up to 21.
- Staying Close support, which many councils now offer, for young people leaving residential children's homes.
Care leavers often have to tell the DWP or the council about their status themselves. Building that step into move-in paperwork saves money for the young person and avoids underpayments.
How licensing treats young people's schemes
The Supported Housing (Regulatory Oversight) Act 2023 licensing regime is aimed at supported exempt accommodation. In its April 2026 response, the government said Ofsted-regulated schemes serving young people up to 25 will be exempt from licensing where at least one bed in the scheme is regulated by Ofsted. That avoids double regulation of the same building.
Schemes for young adults aged 18 to 25 with no Ofsted-regulated beds are expected to need a licence once the regime starts. Providers who think they are exempt must notify the council, which can disagree, with a right of appeal.
Good practice in young people's services
- Plan around education, training and work from the first week, not only housing.
- Keep a clear record of contact with the young person's social worker or personal adviser.
- Make safeguarding procedures specific to under-18s, including missing-from-home protocols and exploitation risks.
- Prepare for the 18th birthday at least three months ahead, including the benefit claim and any change to the occupancy agreement.
- Ask young people what works. Ofsted inspectors will.
Your next step
If any resident is under 18, confirm your Ofsted registration covers the building and the type of accommodation they are in.
Questions people ask
Do I need Ofsted registration to house a 17 year old?
If the young person is looked after by a council or is a care leaver, and you provide accommodation with support, yes. Since 28 October 2023 it is an offence to provide that accommodation without registering. A homeless 17 year old who is not in care may be owed support by children's services, so check their status with the council before accepting the referral.
Can a 16 or 17 year old care leaver claim Housing Benefit?
Generally no. Care leavers aged 16 and 17 who are eligible or relevant children are excluded from Housing Benefit and Universal Credit housing costs. Children's services must provide or pay for their accommodation and maintenance.
What is the shared accommodation rate exemption for care leavers?
Single people under 35 in private rented housing usually get the lower shared accommodation rate. Since 31 May 2021, care leavers under 25 can claim the one-bedroom rate instead. They usually have to tell the DWP or the council that they are a care leaver.
What is Staying Put?
Staying Put lets a young person stay with their former foster carers after 18, up to age 21, if both want it. The council supports the arrangement financially.
Will young people's supported housing need a licence under the 2023 Act?
According to the April 2026 government response, schemes for young people up to 25 are exempt where at least one bed is regulated by Ofsted. Schemes for young adults with no Ofsted-regulated beds are expected to need a licence. Providers claiming an exemption must tell the council.
Sources
Primary legislation and official guidance come first. Where we rely on commentary, we say so.
- 1The Supported Accommodation (England) Regulations 2023 legislation.gov.uk
- 2Regulating supported accommodation for looked after children and care leavers aged 16 and 17, consultation response Department for Education
- 3Government bans unregulated accommodation for young people in care Department for Education
- 4Exemptions to the shared accommodation rate for care leavers and young people in homeless hostels Centrepoint
- 5Children (Leaving Care) Act 2000 legislation.gov.uk
- 6Supported Housing regulation consultation, government response MHCLG and DWP, April 2026
SEA Audit
Housing under-18s? The bar is higher
SEA Audit reviews young people's services against the Ofsted quality standards and the incoming national supported housing standards, so one inspection does not undo the other.
Read next
All guidesTypes of supported housing in England
Hostels, shared houses, Housing First, refuges, foyers, supported lodgings and supported living compared: who each is for, length of stay and funding.
Updated Oct 2026
Transitional housing and move-on
How transitional supported housing works, typical lengths of stay, tenancy or licence choices, and a practical move-on plan that starts on the first day.
Updated Oct 2026
Licensing and the national supported housing standards
What the 2023 Act does, what the April 2026 government response decided on licensing and national standards, the expected timeline and what to do now.
Updated Oct 2026