Social enterprise launches cooperative housing to tackle youth homelessness in Wales

A Welsh social enterprise has announced it will launch a cooperative housing project to stem the country’s rising youth homelessness rates.
In 2021–22, 444 young people aged 16–17 and 5,519 aged 18–24 approached local authorities for support, highlighting the growing scale of the youth homelessness crisis.
Certain groups face an even higher risk with care-experienced young people, care leavers, and those estranged from their families being disproportionately affected.
In 2022–23, 315 care leavers in Wales were recorded as experiencing homelessness, while Public Health Wales notes that around a quarter of young homeless people have been in care.
Those who have experienced significant trauma are especially vulnerable: young people with four or more adverse childhood experiences are 16 times more likely to experience homelessness, while those with supportive family environments have almost 90% lower odds of becoming homeless.
In response to this urgent and deepening crisis, Neath-based social enterprise Sunflower Lounge has launched a pioneering cooperative housing project designed for young people leaving care and for those at risk of homelessness.
Helen Davies, Director of Sunflower Lounge, explained the need: “Homelessness is a huge issue for young people leaving the care system and those who are estranged from their families.
“Sunflower Lounge identified that safe, appropriate and long-term housing was the most essential ingredient for the young people to have in order to begin to live after the trauma they had experienced and to feel safe enough to build the skills, strength, confidence and belief that they can live well.”
She continued: “If we kept following the traditional patterns of housing provision, nothing would change. With the incredible help of The Welland Trust, the Cwmpas Community-Led Housing hub and Tai Tarian, three young people are now poised to move into their first home—where housing meets their individual needs and provides the best possible environment for them.”
Young people themselves have described what this new home means to them, sharing comments such as: “A safe home”, “Somewhere I can be myself without the risk of being kicked out”, “It’s a relief to know I won’t be homeless at Christmas”, and “I’m actually going to have a place of my own to call home.”
The project also places emphasis on peer support, community, and stability.
“Friendship and trust are at the centre of the housing provided, where the young people can live together—supporting each other and championing their strengths to overcome any challenge they may face,” Davies added.
Co-operative housing brings people together to create affordable, secure, community-led homes, providing stability, empowerment, and early intervention that traditional housing models often cannot.
This collaborative approach has been strengthened by three key partners: Cwmpas, The Welland Trust, and Tai Tarian.
“It is remarkable what the Sunflower Lounge have achieved, and Tai Tarian are pleased to support them as they continue to provide practical support to the young people they work with whilst also contributing towards ending homelessness for a particularly at-risk group of young people,” said Clare Way, Director of Operations at Tai Tarian.
Matt Williams, Finance Director at Welland Trust, said: “At Welland, we believe access to suitable, safe, long-term housing is a vital foundation for achieving positive long-term outcomes, and this project reflects our commitment to giving care leavers the security and opportunity they deserve.”
He added: “It has been a pleasure to collaborate with Helen at Sunflower Lounge, offering invaluable support and a welcoming place of safety for young people, and Jonathan and Claire from the Cwmpas community-led housing team, providing extensive guidance and expertise to turn this vision into reality. Together, we are creating homes where care leavers can thrive.”
Bethan Webber, Chief Executive of Cwmpas, emphasised the importance of expanding this model across Wales: “We must invest in expanding affordable, community-led and co-operative housing, especially for young people at risk of homelessness.
“That means providing flexible, easy-access loans to get projects off the ground and creating supportive policy frameworks that empower local communities and young people themselves to lead the way in developing real, lasting housing solutions.”
The Sunflower Lounge project shows a model that could transform how Wales supports young people at risk of homelessness, providing not just housing, but a foundation for long-term stability and independence.
You can find out more about the work of The Sunflower Lounge, Cwmpas, The Welland Trust, and Tai Tarian on their websites.
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