Supported Living, Care Leavers and Children’s Homes
Week ending Sunday 8 November 2026
This week’s developments include new guidance to prevent homelessness among care leavers, continuing investment in mental health supported living services, important planning decisions affecting children’s homes and further scrutiny of housing provider governance.
The most significant announcement is the Government’s Care Leaver Homelessness Reduction Action Plan, published on 5 November. New guidance on housing pathways and the Staying Close programme places greater emphasis on planning suitable accommodation before young people leave care.
Supported Living
Hammersmith and Fulham extends mental health supported living contracts
Hammersmith and Fulham Council approved the extension of two mental health supported accommodation contracts on 5 November.
The contracts, originally due to expire on 31 January 2027, will now continue until 31 August 2027.
The decision maintains existing supported accommodation arrangements for people with mental health needs while the council considers its longer-term commissioning requirements.
Although this is an extension of existing services rather than an announcement of new accommodation, it demonstrates the importance of continuity in supported living provision.
Supported Housing Advisory Panel sets out 31 recommendations
A report published on 2 November examined the Supported Housing Advisory Panel’s first advice to ministers, which contains 31 recommendations concerning the future regulation and quality of supported housing.
The recommendations cover residents’ involvement, the proposed licensing regime, accommodation standards and the availability of suitable supported housing.
The panel’s original advice was published on 23 October, but its implications continue to receive attention as the Government develops the regulatory framework under the Supported Housing (Regulatory Oversight) Act 2023.
The recommendations are advisory and do not constitute new legal requirements.
Providers urged to prepare for supported housing licensing responsibilities
Guidance published by Care Circle Network on 5 November examines how supported housing organisations can prepare for the proposed licensing regime.
The guidance focuses on identifying which organisations are responsible for accommodation, housing management, care and support, particularly where landlords and support providers operate separately.
It recommends reviewing existing governance arrangements, responsibilities and compliance evidence before the final regulations are introduced.
The proposed licensing requirements remain subject to consultation, but the guidance highlights the importance of understanding contractual and operational responsibilities within supported housing partnerships.
Care Leavers
Government launches national plan to reduce care leaver homelessness
The Government published its Care Leaver Homelessness Reduction Action Plan on 5 November, setting out measures intended to reduce homelessness among young people leaving care.
There are now 86,890 care leavers aged 18 to 24 in England, an increase of almost 10% over two years.
The plan aims to halve the proportion of care-experienced young people experiencing homelessness and strengthen local authority responsibilities for accommodation planning and prevention.
Measures include clearer local housing pathways, closer working between children’s services and housing departments, and a new £3 million programme to develop and evaluate approaches to preventing youth homelessness.
Certain care leavers under 25 can no longer be found intentionally homeless, removing a significant barrier to accessing homelessness assistance.
New guidance requires earlier planning for care leaver accommodation
The Department for Education published Planning Housing Pathways for Care Leavers on 5 November.
The guidance encourages local authorities to assess future accommodation needs, identify gaps in provision and work more closely with housing teams, commissioners and accommodation providers.
It emphasises securing suitable accommodation before young people leave care and developing contingency arrangements to prevent tenancy breakdown and homelessness.
The guidance also recognises that independent accommodation is not appropriate for every young person and that decisions should consider individual needs, relationships and support networks.
For accommodation providers and developers, this reinforces the importance of understanding local commissioning requirements before identifying or purchasing property.
Staying Close programme prepares for national statutory duty
New implementation guidance for the Staying Close programme was published on 5 November.
Staying Close provides housing and relationship-based support to help care leavers establish stable accommodation and maintain connections as they move towards adulthood.
The programme includes three approved housing support models: community-building housing projects, supported lodgings and intensive family-based support.
Participating local authorities must also provide a specified mental health support element.
Staying Close currently operates in 50 areas and is expected to become a statutory duty for local authorities across England from 2029.
The guidance is particularly relevant to organisations developing accommodation models that combine independent living with access to practical and emotional support.
Children’s Homes
Children’s home planning appeal succeeds in Bolton
A planning appeal concerning a proposed children’s home on Stanley Road in Bolton was reported on 6 November.
The proposal involved accommodating two children in an existing three-bedroom residential property.
The planning inspector concluded that the proposed use would not constitute a material change of use requiring planning permission.
The decision illustrates how smaller children’s homes may, depending on their operational characteristics, remain within an existing residential planning use.
It does not establish that every home accommodating two children is automatically exempt from planning permission requirements.
Birmingham children’s home approved on appeal
A separate planning appeal concerning a six-bedroom terraced property on Frances Road in Birmingham was also reported on 6 November.
The proposal involved converting the property into a children’s home accommodating four children.
The local authority had refused planning permission, but the inspector allowed the appeal after considering the relevant planning issues, including the character of the area and housing supply.
The decision demonstrates that residential properties can be suitable for children’s homes where the proposed use is acceptable in planning terms.
Government updates children’s social care performance monitoring
The Department for Education updated its Children’s Social Care Improvement and Intervention Data Model on 6 November.
The model brings together information about local authority children’s services, Ofsted inspection outcomes and progress in implementing children’s social care reforms.
It is intended to support decisions about where additional scrutiny, improvement support or intervention may be required.
Although the guidance is directed primarily at local authorities, it is relevant to the wider children’s social care sector because effective commissioning and placement planning depend on understanding local service performance and needs.
Good News Story
Young mother and baby benefit from supported living pathway
Places for People published an encouraging account on 5 November of how its Young Parents Pathway helped an 18-year-old mother establish a safe and stable home for herself and her baby.
The young woman, whose name has been changed to protect her identity, was referred to the service while pregnant because her family accommodation was overcrowded and unsuitable.
She moved into supported accommodation with 24-hour assistance, receiving help with tenancy management, finances and preparing for motherhood.
The service also worked with her health visitor and a local charity to obtain essential equipment for her baby, including a cot and highchair.
The support has helped her develop greater confidence and independence while providing a secure environment for her child.
This is an encouraging example of how appropriate accommodation, practical support and effective partnership working can make a meaningful difference to vulnerable young families.
Bad News Story
Housing regulator identifies serious governance and financial failings
The Regulator of Social Housing published findings on 4 November concerning Rentplus Homes Limited, a small for-profit registered provider.
The regulator identified serious weaknesses in governance, risk management and business planning, alongside significant financial pressures affecting the organisation’s liquidity.
Although Rentplus is not being presented as a specialist supported living provider, the findings provide an important warning for investors entering long-term lease arrangements with housing organisations.
Registered provider status does not remove the need for thorough financial and governance due diligence.
Source: Regulator of Social Housing, 4 November 2026
Regulatory and Strategy Watch
Supported housing licensing consultation remains open
The Government’s consultation on the draft Supported Housing (Licensing) (England) Regulations 2027 remains open until 10 December 2026.
The proposed regulations form part of the implementation of the Supported Housing (Regulatory Oversight) Act 2023 and would introduce locally administered licensing arrangements for supported housing in England.
The proposals include fit and proper person assessments, accommodation and management standards, inspection powers and financial penalties for non-compliance.
The regulations remain in draft form and are not yet in force.
Providers, landlords and investors should review the proposals carefully, particularly where accommodation ownership, housing management and care provision are undertaken by different organisations.
Planning Reality Check
The planning appeal decisions in Bolton and Birmingham demonstrate why children’s home applications must be assessed individually.
In Bolton, the inspector concluded that the proposed use did not amount to a material change of use. In Birmingham, planning permission was required but was granted on appeal.
These are different planning circumstances, and neither decision should be interpreted as establishing a general rule based solely on the number of children accommodated.
The scale of the proposed operation, staffing arrangements, relationship to an ordinary household and potential impacts on neighbouring properties may all be relevant.
As a former planner, I believe providers and investors should establish the planning position before purchasing a property or committing to expensive alterations.
An assumption that a property will be suitable because a similar application succeeded elsewhere can be a costly mistake.
Industry Insight
The Government’s new care leaver homelessness strategy places greater emphasis on planning accommodation requirements before young people reach the point of leaving care.
The accompanying housing pathways guidance and Staying Close programme recognise that young people need different levels of support and different types of accommodation.
This is particularly relevant to the development of smaller, self-contained accommodation schemes where young people can establish independence while retaining access to appropriate support.
However, accommodation must be matched to assessed local need, and providers must have sustainable funding arrangements for the support being delivered.
The national policy direction is encouraging, but its effectiveness will depend on how successfully local authorities translate the guidance into practical commissioning and housing solutions.
Investors
This week’s developments reinforce the importance of understanding both the accommodation requirements and the organisations involved in delivering supported housing.
The Rentplus regulatory findings demonstrate why financial resilience and governance should be central to due diligence, even where the proposed tenant is a registered provider.
The Government’s care leaver announcements may encourage additional accommodation development, but a national policy commitment does not automatically establish local property demand.
Investors should obtain evidence of commissioner requirements, understand the provider’s operating model and financial position, and assess the suitability of the property before committing capital.
Long leases, planning permission and attractive projected rental returns are not substitutes for a viable, properly researched investment.
Denise’s Take
The new Care Leaver Homelessness Reduction Action Plan is the development that particularly interests me this week.
Having spent 15 years as a therapeutic foster carer, I know that preparing young people for independence takes time, patience and appropriate support.
I welcome the Government’s recognition that accommodation planning needs to begin well before young people leave care and that independence should not mean isolation.
The Staying Close programme is particularly encouraging because it recognises the importance of maintaining relationships and providing support that reflects individual needs.
However, the success of these initiatives will depend on whether local authorities have access to suitable accommodation, experienced providers and sufficient funding.
I would like to see more commissioners exploring smaller, self-contained homes where appropriate, with access to support and opportunities for social connection.
As with supported living and children’s homes, the starting point should always be the needs of the people who will live there, not the availability of a particular property.
People before property.
Work with Lifefix
If you are considering investing in supported living, Intensive Housing Management, care-leaver accommodation or children’s homes, I offer consultations designed to help you understand the opportunities, risks and realities of the sector before making expensive decisions.
Whether you are exploring the sector for the first time, considering a particular opportunity or already have a property or portfolio you would like to discuss, the consultation gives you an independent view of what you are considering.
A national shortage does not mean there is demand for your property. Understanding that difference before you invest can save you many thousands of pounds.
You can read more about the coming regulations and what’s needed in my book Supported Living 101 available on Amazon by clicking the link here.
If you want an in-depth strategic consultation to discuss your portfolio or are considering expanding into this sector you can book a consultation here.