Local Housing Allowance is the way of working out claims for Housing Benefit for tenants renting accommodation from a private landlord. It also affects tenants already getting Housing Benefit who move into accommodation rented from a private landlord. Local Housing Allowance was introduced on 7 April, 2008.
It is based on:
It is not based on how much rent you charge. The change will only affect your tenant if you are a Private Landlord and:
OR
The maximum amount of LHA depends on:
The LHA rates are set by The Rent Service each month.
Current LHA rates
LHA is based on the number of bedrooms your tenant needs, not on how much rent you charge. The number of rooms allowed depends on who lives with your tenant.
One bedroom required for each of the following
Bedroom entitlement calculator for your Local Housing Allowance category
LHA is usually paid direct to your tenant. Your tenant cannot decide to have their LHA paid to you. It will then be up to you to collect your rent. We can consider paying LHA to you in exceptional circumstances. This is called a safeguard. For more information on the safeguard provision please view the Information Leaflet.
If you want to know more about the changes and how they affect you: