Local Housing Allowance (LHA)

What is Local Housing Allowance?

LHA is Housing Benefit for people on benefits or low incomes who rent from private landlords. LHA is based on the number of rooms people are allowed, not how much the rent is. The number of rooms allowed depends on who lives with the tenant.

Local Housing Allowance from 7 April 2008.

Previously, Wandsworth Council had been one of a small number of Councils who trialed the LHA scheme. However, from 7 April 2008, LHA is being introduced to all Councils. There will be a number of changes to the scheme from 7 April 2008.
The main changes are:

  • LHA rates will be based on the number of bedrooms a household needs, not bedrooms and living rooms.
  • If the LHA rate that applies to you is more than your rent, the maximum amount of benefit you can get is your rent plus £15 (this is known as the 'cap').
  • The way LHA rates are worked out by the Rent Service is changing. They will be based on a wider range of local rents than were previously used.

If you received LHA prior to 7 April 2008, to ease the move to the new scheme that all Local Authorities will operate from 7 April 2008, you may receive Transitional Protection.

I am a tenant – how much LHA will I get?

The amount of LHA you will get depends on:

  • Who lives with you
  • What money you have coming in
  • What savings you have
  • Your rent
  • The area in which you live and the Broad Rental Market Area (BRMA) which applies to your address

Who is not affected by Local Housing Allowance?

The rules will not apply to:

  • Local Authority tenants
  • Tenants of registered social landlords (Housing Associations)
  • Tenants who have a registered or 'fair' rent
  • Tenancies which commenced before January 1989
  • Protected cases such as supported housing provided by social landlords, charities or voluntary organisations, who also provide care, support or supervision
  • Tenancies in caravans, houseboats or hostels

More information

You can find out more about the Local Housing Allowance at the Department for Work and Pensions website.

Local Housing Allowance rates  Property Size  Broad Rental Market Area  Transitional Protection 

 

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