Local Housing Allowance (LHA)

The way that Housing Benefit is paid to customers who rent private accommodation changed from 7th April 2008. The new scheme is called Local Housing Allowance (LHA) and has been in place for a number of years in some 'pathfinder' authorities in England, Wales and Scotland. 

LHA awards will continue to apply for a year unless a relevant change in a customer's circumstance occurs.

There are four circumstances in which a Local Housing Allowance (LHA) may be updated within the year:

  • A change in the number of occupiers
  • If there is a provision within the original tenancy agreement for a rent increase periodically
  • A change of address within the period of the LHA
  • If there is a death in the household

However, customers will need to continue reporting all the changes in their circumstances to the benefit office.  Whilst the applicable LHA rate might not be affected the amount of Housing Benefit payable may change in the same way it does now.

  1. What is Local Housing Allowance?
  2. Who will be affected by the Local Housing Allowance?
  3. How does LHA affect landlords?
  4. Why has LHA been introduced?
  5. When and where will LHA rates be published?
  6. How are Local Housing Allowance payments worked out?
  7. What about customers under 25?
  8. How are single customers aged over 25/ couples with no children affected?
  9. What is the length of Local Housing Allowance Awards?
  10. Will mid-year rent increases be taken into account?
  11. How will payments of Local Housing Allowance be made?
  12. Will customers have any appeal rights?
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