Local Housing Allowance

Make a Claim for Local Housing Allowance

Local Housing Allowance (LHA) is the new way of working out the maximum Housing Benefit you could get and gives tenants more choice in where they live.

This is because:

• With Local Housing Allowance you will get the same amount of benefit as people in the same circumstances as you. With Housing Benefit, people living in smaller or less attractive properties usually got less benefit than people living in larger or more attractive properties.
• You can find out how much Local Housing Allowance you can get before you rent a property.
• If you get Local Housing Allowance you will get your benefit paid to you. It is up to you to pay the rent to your landlord in the same way as other tenants who do not get benefit.

If you don’t pay your rent you may be evicted from the property.

Local Housing Allowance (LHA) is paid directly to the tenant, not to the landlord. It is up to the tenant to make sure that the rent is paid to the landlord. This means that:

If your rent is higher than the LHA, you will have to make up the difference.

In some circumstances we can pay the landlord with the tenant's agreement. The section below tells you about this. 

Direct Payments to Claimants

The easiest way to receive LHA is straight into a bank account. This means that benefit is received on the day that it is due and a standing order or direct debit can be set up to pay the rent.

To arrange for LHA to be paid into a bank account, please contact the Benefits Service or complete the Change of Payments Form

LHA cannot be paid into a Post Office Card Account like some other benefits. You will need to have an account with a high street bank.

The Citizens Advice Bureau (CAB) provide a Money Advice Service and they can help tenants by giving advice on:

• Opening bank accounts (see guide at the bottom of this page)

• Setting up standing orders

• Making changes to household budgeting

• Rescheduling debts  
  

Direct Payments to Landlords

If someone feels they cannot cope with the process of paying rent to the landlord each month, it may be possible for us to pay LHA directly to the landlord.

A Direct Payments Application Form needs to be completed giving us reasons why you think your LHA should be paid to your landlord.  We may need to ask for further evidence.

The council's Safeguards for Tenants and Landlords Policy tells you how we make decisions to pay private landlords.

Eight Weeks Arrears

If we are told that you owe more than eight weeks rent, we will look at paying your LHA directly to the landlord until the amount owing has been cleared.  To make this decision we will look at the evidence provided.

There are many reasons why someone cannot manage their money and paying the landlord may only be a short term arrangement. There are a number of local advice agencies who may be able to offer support.

If you are worried about managing your money, ask us if we can help. In special cases we may be able to pay your rent to your landlord.

Change of circumstances

If you move to a new address or other circumstances change, you should tell us straight away. You may need to make a fresh claim for Local Housing Allowance.

To find out how much Local Housing Allowance you may receive ring 0300 5558100

Working out what you might get

The Local Housing Allowance (LHA) for private tenants is worked out according to:

• Who lives with you

• How much money you have coming in

• What savings you have
  

The number of people who are included in your claim for LHA will be used to work out how many bedrooms you are entitled to. This number will correspond to the category of LHA you will get. We do not count other rooms such as a kitchen or bathroom.

Size criteria

You are allowed one bedroom for:

• Every adult couple (same or opposite sex)

• Any other adult aged 16 or over

• Any two children of the same sex aged under 16

• Any two children under age 10

• Any other child
  

Local Housing Allowance monthly rates

The table below shows the Local Housing Allowance (LHA) rates applicable to private tenants making a claim this month.  These are the maximum amounts for each category. The actual amount you will be entitled to will depend on your income and savings

Every year the council has to recalculate private tenants' LHA so that it stays in line with market rents. This is uprated yearly in April.  

Rate Calculator

Category A is applied for those who do not live in self contained accommodation.

Category A also applies to all claimants under 35.

Frequently Asked Questions

1. What if the rent is more than the LHA, can the rent still be increased?

The landlord can charge whatever rent they feel appropriate, however Housing benefit will still be based on the LHA regardless of what is being charged.

2. If there is a rent increase due on a property in April, can the landlord base the rent on the LHA figure?

The landlord can charge any rent he/she feels is appropriate. If that amount equals the LHA rate for that size of property then that is fine.

3. How often will the tenant be paid?

4 weekly in arrears or calendar monthly in arrears.

4. Where the council can pay the landlord if the tenant is in 8 weeks arrears, is that 8 weeks of the LHA rate?

No it is 8 full weeks rent arrears which could have accrued at anytime.

5. Why do you have to wait until someone is 8 weeks in arrears before you can swap payments to the landlord?

Because that is the time limit set in legislation. However if a tenant doesn’t make the first payment to the landlord at the due date the landlord should contact us with evidence and we may be able to pay earlier.

For further information relating to Local Housing Allowance please see our leaflets

Important Changes from April 2011