First edition of Landlord News
Local Housing Allowance is a new way of calculating and paying Housing Benefit for people who rent from a private landlord. It is being introduced in Ipswich from April 2008. Help with understanding the Local Housing Allowance.
Who does Local Housing Allowance (LHA) apply to?
LHA is for people on a low income living in private rented accommodation.
Who cannot get Local Housing Allowance?
You cannot get LHA if:
- you are a council or housing association tenant
- you have a tenancy that started before 1989, or
- you live in a caravan, mobile home or house boat
- you live in a hostel
But you may still be able to get Housing Benefit to help with your rent.
If you are in board and lodging or charity-supported accommodation you also may not get LHA.
How much Local Housing Allowance can I get?
The amount of LHA you can get depends on:
- who lives with you
- what area you live in
- what money you have coming in
- what savings you have
LHA does not depend on how much rent you pay. The LHA rates may be different depending on which area you live in. These rates are set by an independent rent officer, based on local rents. These rates are the maximum amount of LHA you may get. Remember though that you may get less than the maximum rate depending on your circumstances.
Bedroom Entitlement Calculator (opens in a new window)
What’s different about Local Housing Allowance?
You will usually get any LHA paid to you and you will have to pay your rent to your landlord. Knowing the amount of LHA will let you work out what rent you can afford. So when you go looking for somewhere to live you can work out how much money you will have. Then you can choose a place that suits you.
Some properties will have a rent lower than the amount of LHA you can get. If you live in one of these, you can still get the same amount of LHA and you can keep the difference up to a maximum amount if £15 per week. This will not affect any other social security benefits you get.
When can I claim Local Housing Allowance?
All private tenants claims made on or after 7th April 2008, will be treated as a claim for Local Housing Allowance.
What happens if I already receive Housing Benefit?
If you already get Housing Benefit your claim will be transferred to LHA if you change address or have a break in your entitlement after 7 April 2008.
How will Local Housing Allowance be paid?
In most cases LHA will be paid directly to you. We will pay it into a bank or building society account for you. You cannot choose to have your LHA paid direct to your landlord.
You can arrange for your bank or building society to pay your rent direct to your landlord.
If you don’t have an account you may want to open one. We can provide information to help with this.
Basic bank accounts [376Kb]
In some exceptional cases we may be able to pay your Local Housing Allowance directly to your landlord. We will include some more information about this here, closer to April 2008.
Local Housing Allowance leaflets
An introduction [143Kb]
Working out your Local Housing Allowance [146Kb]
If you are a care leaver aged 22 or under [156Kb]
Tenants who are likely to have difficulty paying their rent [142Kb]
If you are a couple [156Kb]
Information for private landlords [161Kb]
Money advice for tenants [162Kb]
Reviews and appeals [156Kb]
Rights and responsibilities [144Kb]
If you are severely disabled [155Kb]
How do I find out more?
If you are already in receipt of Housing Benefit we will contact you nearer the time with more information. If you have any questions about LHA now you can email us at the address below or phone on the contact number.
Email: local.housingallowance@ipswich.gov.uk
Phone: 01473 433806
Alternatively, you can also get further information on Local Housing Allowance from Department for Works and Pensions website:
www.dwp.gov.uk/housingbenefit/lha
This information will be updated on a regular basis.
Last update 15/07/2008