The charity’s research into young people’s experiences of moving out of homelessness and into independent living found that 70 per cent were ready to move on but remained in supported accommodation.
However, of those ready to move, only one in four felt that they would be able to do so within the next three months.
YMCA’s longitudinal research into the experiences of young homeless people revealed that an inability to save, lack of affordable housing and discrimination in the private rental sector were the main reasons given for why they were unable to move on from homelessness.
Most young people in supported housing rely on welfare benefits to cover the cost of rent and everyday living, leaving little or no money to put aside towards deposits and upfront costs associated with private renting.
Almost half (49 per cent) of young people involved in the research said inability to save had impacted their ability to leave supported accommodation.
Meanwhile, those in employment reported a similar experience as starting work meant immediate loss of housing benefits or Universal Credit, leaving them in debt due to a delay in receiving a salary during the first few months of work.
Others who were able to afford private renting said they felt private landlords would be reluctant to take them on without a guarantor.
Some 41 per cent of young people told YMCA that landlords being unwilling to let them rent a property privately was the main external aspect preventing them from moving on.
A further 44 per cent said they were unable to move on because of the cost of deposits and rent for private properties.
Ahead of tomorrow’s budget, YMCA is asking the government to help young people progress to independent living by increasing the amount of benefits received while trying to move on from supported accommodation.
For those in employment, they should be allowed to retain more of what they earn as they start to increase their hours, the charity says.
It is calling on members of the public to sign a petition calling for these changes.
Denise Hatton, chief executive of YMCA England & Wales said: “Supported housing is designed to be a temporary aid for young people to settle and have a helping hand to get their lives on track. However, many young people are forced to stay for months or even years after they feel ready to move on due to the barriers and blockades of the welfare system and outlook of our society.
“With personal, financial and social obstacles piled in front of them, homeless young people need a welfare system which is designed to support them not hold them back. If the government continues to ignore the faults within the system, they risk trapping young people in an endless cycle of homelessness, ultimately becoming stuck, disheartened and further isolated by the insurmountable challenges they face.”
