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Supported housing licensing: draft regulations out for consultation until 10 December

By Kiwi News desk · Published · Updated

On 15 October 2026 the Ministry of Housing, Communities and Local Government (MHCLG) published draft regulations for a new licensing regime for supported housing in England, under the Supported Housing (Regulatory Oversight) Act 2023. Councils would license organisations that control or manage supported housing, with mandatory conditions including the National Supported Housing Standards. The consultation closes at 11:59pm on 10 December 2026; the regime is still a proposal and needs parliamentary approval.

A glass house key on a ring beside a short row of glass terraced houses and a blank document, the image for our story on the draft supported housing licensing regulations.

How we got here

The 2023 Act gave government powers to set national standards for support in supported housing and to let councils license it. MHCLG consulted on the detail between 20 February and 15 May 2025, receiving 581 responses, and published its response on 16 April 2026.

That response settled several big questions:

  • Scope: licensing will cover all supported housing where residents can claim Housing Benefit, not only "exempt" accommodation.
  • Licences by council area: a licence holder applies in each licensing district, and the licence lists the addresses where it can operate supported housing.
  • Standards: the National Supported Housing Standards will apply to support only. The proposed Responsible Person Standard was dropped.
  • Needs assessments: each resident needs one when they move in or, if that isn't possible, within four weeks.
  • No local add-ons: councils will not be able to add their own licence conditions.
  • Housing Benefit: entitlement in England will be linked to licensing.

What the draft regulations propose

The 15 October consultation turns that policy into draft regulations, titled the Supported Housing (Licensing) (England) Regulations 2027. Key points:

  • Who needs a licence: a person having control of, or managing, supported housing in a designated district. The Secretary of State expects to designate every local housing authority in England.
  • Timing: once designated, councils get six months to set up schemes, followed by a three-month transition before operating without a licence becomes an offence. No fixed start date is given yet.
  • Licence length and conditions: licences would last five years, with mandatory conditions. These include meeting the National Supported Housing Standards and, where personal care is provided, that it "must be delivered by a registered care provider".
  • Fit and proper person test: applies to licence holders and nominated individuals. Councils must consider information from bodies including the Care Quality Commission.
  • Fees: each council sets its own fees to recover costs without making a surplus.
  • Exemptions: these include almshouses, housing provided by local authorities, Ministry of Justice accommodation, council-commissioned domestic abuse refuges, some low-cost housing for people aged 55 and over, and certain Ofsted-regulated provision for young people.
  • Enforcement: information, warning and improvement notices, with civil penalties of up to £7,000, or up to £40,000 for failing to comply with an improvement notice. Appeals go to the First-tier Tribunal.
  • Transition: existing providers that fall short during the transition would get a deficiency notice rather than an outright refusal.

What it means across settings

For many supported living services, the housing and the care are provided by different organisations. The draft places the licensing duty on whoever controls or manages the supported housing; it does not spell out how this applies when landlord, managing agent and support provider are separate. That is a point worth raising in the consultation.

CQC-registered care providers delivering personal care in supported housing stay regulated by CQC for that care. Under the draft conditions, personal care in licensed housing must come from a registered provider, and councils will use CQC information in fit and proper decisions. Learning disability, autism and mental health services in shared or specified accommodation are likely to be in scope if residents claim Housing Benefit, unless an exemption applies.

What this means for your service

  • Work out whether you are in scope. If you are a landlord, managing agent or support provider for housing where residents can claim Housing Benefit, read the draft regulations and the exemptions list.
  • Check your support against the National Supported Housing Standards now, rather than waiting for licensing to start.
  • Review needs assessments. Make sure every new resident has one on arrival or within four weeks, and that it is recorded.
  • Clarify roles with your partners. If housing and care are split, agree who is likely to apply for the licence and who holds which evidence.
  • Respond by 10 December 2026. Providers' practical experience matters, especially on split housing and care models, fees and the transition period.
  • Don't panic. Nothing is in force yet. Under the draft timetable, councils get six months to set up schemes after designation, then a three-month transition, before operating unlicensed becomes an offence.

This is general information, not legal advice.

Sources

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