The initiative in England was stripped of its ring-fenced funding this year and from April next year it will be funded through councils' area based grant.
In their inquiry into the programme, members of the Communities and Local Government Select Committee warn that without ring-fenced funding cash-strapped councils could disband the support teams and stop commissioning the services.
The committee points to research from housing charity Sitra that shows that when fencing was removed from the programme in Scotland last year, five out 32 local authorities disbanded their supporting people teams and more are likely to follow.
The committee's report into Supporting People says: "We conclude that pressure on local authority budgets is a potential threat to the future of some existing Supporting People services."
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