Local housing allowance rates
Changes to housing benefit for social housing tenants
After 1 April 2018 the Local Housing Allowance (LHA) rates will be applied to social housing as well as private sector properties. This will mean that the lower of either the rent charged or the LHA rate will be used for housing benefit purposes.
If you are single and under 35 years of age on or after 1 April 2018 and claiming housing benefit then you will only be entitled to the LHA shared room rate. This regulation could have a serious impact on your budget and your ability to pay the rent. See example below based on current LHA rates for a house in Hinckley:
Rent for one bed house mid-terrace in Hinckley £76.45
Less LHA Shared Room Rate £59
Shortfall to pay £17.45
This regulation will apply to single tenants under the age of 35 and to those signing a mutual exchange who signed a new tenancy after 1 April 2016, but will take effect in their benefit from 1 April 2018.
Last updated: 22/02/2017 11:25