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.
Quick answer
The Supported Housing (Regulatory Oversight) Act 2023 lets the government set national supported housing standards and create a council-run licensing regime for supported exempt accommodation in England. The April 2026 response confirmed licence holders must meet the standards, pass a wider fit and proper test and assess each resident's needs within four weeks. Licensing is expected in 2027.
The short version
- The Act received Royal Assent on 29 June 2023. Most of its detail is left to regulations, which are still being drafted.
- Licensing will cover supported exempt accommodation as defined in section 12 of the Act, with a longer list of exemptions than first proposed.
- Providers will not need a separate licence for every scheme, which was a major concern in the 2025 consultation.
- Commissioned services do not have to meet the standards licensing condition directly, but commissioners must buy support that complies.
- Councils must publish their first supported housing strategies, with the deadline currently planned for 31 March 2027.
In this guide
For most of its history, non-commissioned exempt accommodation had no regulator looking at the support. Housing Benefit paid the rent, councils checked claims, and that was it. The Supported Housing (Regulatory Oversight) Act 2023 is the first law written to change that.
How we got here
The Act started as a private member's bill from Bob Blackman MP and received Royal Assent on 29 June 2023. Pressure had built for years:
- Pilots in Birmingham, Blackburn with Darwen, Blackpool, Bristol and Hull from October 2020 to September 2021 showed what councils could do with extra capacity, including more than 1,000 property inspections.
- The Levelling Up, Housing and Communities Committee published its exempt accommodation report in October 2022 and called for urgent reform.
- The London Assembly Housing Committee reported in March 2023 that boroughs had spent at least £107 million in a year, with evidence of unsafe accommodation.
- The National Audit Office reported in May 2023 that gaps in regulation meant some providers faced little scrutiny, and that there was no direct regulation of the quality of support.
The £20 million Supported Housing Improvement Programme then funded 27 councils from 2022 to 2025, with a further £8 million in May 2025 to continue it until 31 March 2026.
What the Act does
The Act sets up the framework. Most of the detail is left to regulations.
- A Supported Housing Advisory Panel to advise the government.
- Powers to set national supported housing standards for the support provided.
- A duty on local housing authorities in England to review supported exempt accommodation in their area and publish a supported housing strategy.
- Powers to create a licensing regime for supported exempt accommodation, run by councils, with offences for operating without a licence.
- Powers to change Housing Benefit rules for supported exempt accommodation.
Section 12 defines supported exempt accommodation by reference to the Housing Benefit rules, so the licensing scope follows the same categories that let Housing Benefit be paid above Local Housing Allowance levels.
What the April 2026 response decided
The government consulted on how to implement the Act in spring 2025 and published its response on 16 April 2026, updated on 19 June 2026. These are the points that matter most for providers.
| Topic | What was decided |
|---|---|
| Scope | Licensing mirrors the definition of supported exempt accommodation in section 12 of the Act |
| Licence structure | Providers will not need a separate licence for each scheme |
| Standards | Licence holders must comply with slightly amended national supported housing standards as a condition |
| Commissioned services | Not required to meet the standards condition directly. Commissioners are expected to commission support that complies. |
| Fit and proper person | Broadened to align with CQC and Ofsted tests. Extends to the board where the licence holder is an organisation. |
| Service managers | New condition: licence holders must check managers' character, capacity, experience and skills. Lived experience is not a bar. |
| Needs assessments | A needs assessment for each resident on moving in or within four weeks |
| Exemptions | Expanded to include low-cost older people's provision for over-55s, almshouses and Ofsted-regulated schemes for under-25s where at least one bed is Ofsted regulated |
| Claiming an exemption | Providers must tell the council. The licence holder can appeal if the council disagrees. |
| Property standards | No new accommodation standards. Existing law continues to apply. |
What the national standards are likely to cover
The 2025 consultation proposed standards grouped around person-centred support, resident empowerment and voice, the living environment, staffing and safeguarding, and meeting local need. The 2026 response said the standards will be slightly amended, so treat the detail as provisional. In practice, a provider should expect to evidence:
- a needs assessment and a support plan for every resident, reviewed regularly
- support that is delivered as planned and recorded
- safeguarding policies that staff know and use
- staff who are recruited safely, trained and supervised
- residents having a say in how the service runs, and a complaints process they can use
- move-on planning and outcomes
These line up with the National Statement of Expectations for supported housing published in 2020, which many commissioners already use.
Supported housing strategies
Every local housing authority must review supported exempt accommodation in its area and publish a strategy. The first strategies are currently planned for 31 March 2027. Councils will use their reviews to decide how much provision they need and where, which will shape how they approach licensing and commissioning. Providers that share good data with their council early tend to have a better relationship when licensing starts.
What to do now
- List every scheme with its landlord, support provider, bed spaces and commissioning status.
- Check each scheme against the exemptions, and write down your reasoning.
- Prepare fit and proper evidence for the organisation, the board and service managers.
- Audit needs assessments. Every resident should have one within four weeks of moving in.
- Map your service against the proposed standards and fix the gaps you can fix now.
- Contact your council's supported housing or strategy team and ask how you can contribute to the review.
The regulation tracker shows each milestone and what is expected next.
Your next step
Score your service against the proposed national standards before draft regulations come out.
Questions people ask
When does supported housing licensing start?
The government expects licensing to start at some point in 2027. Draft regulations and guidance were due to be consulted on later in 2026, alongside Housing Benefit changes. Exact dates will be set by those regulations.
Will I need one licence for each scheme?
No, according to the April 2026 response. The government changed its approach after providers raised concerns about applying for and holding a licence for every scheme.
What is the fit and proper person test for supported housing?
The test has been broadened to look more like the tests used by the CQC and Ofsted than HMO licensing. Where the licence holder is an organisation, it extends to the board of directors. A separate condition requires licence holders to check their service managers have suitable character, capacity, experience and skills.
Which supported housing is exempt from licensing?
The April 2026 response lists exemptions that include low-cost older people's provision for over-55s, almshouses and Ofsted-regulated schemes for young people up to 25 where at least one bed is Ofsted regulated. Providers claiming an exemption must tell the council, and can appeal if the council disagrees.
Are there new property standards for supported housing?
No. The government said it is not creating new accommodation standards. Existing rules such as the Housing Health and Safety Rating System, HMO licensing and fire safety law continue to apply.
Sources
Primary legislation and official guidance come first. Where we rely on commentary, we say so.
- 1Supported Housing (Regulatory Oversight) Act 2023 legislation.gov.uk
- 2Supported Housing regulation consultation, government response MHCLG and DWP, 16 April 2026, updated 19 June 2026
- 3Supported Housing (Regulatory Oversight) Act 2023, analysis Bevan Brittan (commentary)
- 4Key changes to how supported housing regulations will be implemented Homeless Link
- 5Investigation into supported housing National Audit Office, May 2023
- 6Unsafe and unregulated, London's rogue supported housing providers London Assembly Housing Committee, March 2023
- 7London exempt supported housing concerns London Assembly
- 8Supported Housing Improvement Programme MHCLG
SEA Audit
Get ahead of your licence application
SEA Audit runs a pre-licensing review against the national standards and the fit and proper person test, so you know what a council will ask and what your evidence shows.
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