North Yorkshire County Council
Health and Adult Services
Executive Members Meeting
8th August 2025
REPORT TO Corporate Director of Health and Adult Services (HAS) in consultation with the
Executive Member for Health and Adult Services
Independent Living Skills Housing Support Contract Extension
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1.0 Purpose Of Report
To seek approval for the extension and uplift of the Independent Living Skills Housing Support contract for an additional 12 months.
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2.0 Executive Summary
Health and Adult Services commissions Mental Health Supported Housing services from a number of providers across the County to support people with mental health needs to develop the skills they need to live independently.
These contracts have now run to their full term, however due to new and expanded opportunities for the provision of Supported Housing services as a result of additional investment via Second Homes Council tax, this paper seeks agreement to enter into an additional 1 year, out of scope extension to allow time for the necessary work to be completed to create a successor service.
3.0 Background
3.1 Service Background
North Yorkshire Council commissions a countywide service for people aged 18 and over who are experiencing mental health and housing issues. The aim of the service is to maximise and sustain independence in the community, prevent avoidable hospital admissions, and support people to achieve their rehabilitation and recovery goals.
The original contract for the provision of mental health housing support managed by North Yorkshire County Council commenced on 1st October 2021. This contract commissioned Mental Health Housing Related Support across the county consisting of a mixture of floating support for those who have their own tenancy, plus a number of short-term accommodation units.
Housing with support provides accommodation for up to one year with input from a housing support worker to develop the skills required to maintain a tenancy and ensure the person is able to move to independent living at the end of period. The service takes a person-centred approach to develop other protective factors which may include budgeting, reducing social isolation, benefit maximisation, links with other services, becoming employment or volunteering ready. Transition support is also provided as the person moves to their long-term accommodation.
Floating Support is provided to people who already have a home but are at risk of losing this due to their circumstances. The housing support worker will work with them to identify the risk factors and work with them to develop a plan to support them to maintain their existing tenancy or find a new property where appropriate. Floating support can be provided for up to 12 months.
Seven Lots were commissioned to deliver support in seven different localities. Three providers are responsible for the provision of this service. Units procured were considered to be proportionate to the population in each locality.
3.2 Contract
The contract was procured by the Council on 2 year + 1 year + 1 year basis to start from 1st October 2021.
In parallel to this then County Council procurement, Craven District Council (CDC) completed a tender process for the same service under the same specification for 5 additional units in the Craven area. This reflected CDC’s view of the service as highly beneficial and also mitigated the loss units which were re-allocated to other areas as a result of the needs analysis which underpinned the then NYCC procurement.
This CDC contract was let on a 2+1 and was subsequently folded into the broader NYC service in 2024.
3.3 Performance
The service has supported over 100 people between April 2024 and March 2025. During this period, 12 people have moved from the accommodation pathway, 11 of whom have done so in a positive way (92%) by developing their independent living skills to manage a tenancy. Over 100 people have moved through the floating support service, of which 89% did so in a positive way. A small number of people disengaged from the service. Part of the success of the pathway is that people are considered holistically and the reasons why their tenancies are at risk are explored. Supportive approaches are developed to address the reasons, so the person is empowered to make informed choices and develop resilience longer term.
The service is well used and carries a waiting list in most areas. Utilization is calculated based on the number of people in service at the end of the quarter against the number of people each provider is contracted to support. For the accommodation with support, the rate is 87%, 85%, 100% and 92% for the four quarters of the above period. Where the figure is lower than 100% this is due to maintenance or the period between people moving out and the next person moving in at that particular snapshot in time. For the floating support, the utilisation rate is 82%, 88%, 92% and 76% for each quarter. This is due to recruitment challenges and long-term illness in the Harrogate area which in part have been covered by agency staff, but due to the relative size of the service, disproportionately impacts on the overall rate. The Harrogate service is now fully staffed.
4.0 Variation and Extension
The council has made additional funding available for the provision of supported housing through an allocation drawn from the Second Homes Council tax premium. This will allow successor services to RACSS to potentially be significantly expanded both in terms of the numbers of people supported and the complexity of those individuals’ circumstances.
In order to maximise this opportunity, additional time is required to successfully complete a full commissioning process. As such, it is proposed that an additional 1 year extension out of scope is approved to allow for this work to be undertaken and ensure that the full benefit of the additional funding is felt.
The contracts were let with 0% annual uplift in 2021, this position was held until September 2024 when uplifts were applied to some Lots of the contract based on provider feedback. As the proposed extension is out of the initial scope of the procurement, it is reasonable that providers have asked the council to consider an additional uplift for the final year of the contract. The Council has worked through a detailed process with the provider to understand the need for additional funding, including:
· Initial bids assumed 2% year on year inflation and as such this must be absorbed within the original bid cost for the initial term of the contract.
· Staffing and pay levels within the provider have been reviewed to ensure the Council is receiving best value.
· Robust contract management has ensured HAS are aware of gaps in staffing and other areas of underspend which need to, and have been, utilised prior to any additional uplift
Following this process and a period of negotiation it is recommended that the following uplifts are applied:
Mental Health Supported Housing – Harrogate and Selby
Mental Health Supported Housing – Craven
Mental Health Supported Housing – Hambleton, Richmondshire, Scarborough and Ryedale
4.2 Alternative Options Considered
The alternative to applying an uplift to these contracts would be to reduce the number of units available within each contract. This would reduce the ability of the service to support individuals and promote good outcomes.
5.0 Financial Implications
The full year effect of these changes will be £39,315, this is within the allocated budget for the service.
6.0 Legal Implications
The above proposal has been approved by Procurement Assurance Board and as such legal and procurement risks have been considered and addressed. The proposed extension is permissible under Regulation 72 of the Public Contract Regulations 2015.
7.0 Conclusion and reason for recommendation/s
Mental Health Supported Housing continues to deliver a strong service which supports offenders to reintegrate into communities on release and reduces rates of reoffending. This variation and Extension will allow to service to continue at capacity whilst work is completed to reproduce the service from 2025 onwards.
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8.0 Recommendation/s
That the Corporate Director in consultation with the Executive Member:
1. Approve the implementation of an additional 1 year extension and associated uplift |
Mike Rudd
Head of Housing, Technology & Sustainability
County Hall
8th August 2025