Local Housing Allowance (LHA)
What is Local Housing Allowance (LHA)?
LHA is a simplified Housing Benefit system for people on benefits or low incomes who rent from private landlords. LHA is based on the number of rooms people are allowed, not how much the rent is. The number of rooms allowed depends on who lives with the tenant.
One bedroom required for each of the following
- A couple
- A single person over 16
- Two children of the same sex under 16
- Two children under 10 regardless of gender
Who will be affected by Local Housing Allowance?
LHA will come into force on 7th April 2008 and will only affect those tenants renting from a private landlord who either:
- Enter into a NEW private tenancy agreement, or
- Make a NEW claim for Housing Benefit, or
- Have a break in their Housing Benefit entitlement
If you are a private tenant and in receipt of Housing Benefit on 7 April 2008 you will not be affected by LHA unless there is a break in your Housing Benefit entitlement or you move and enter into a new private tenancy agreement.
How much will LHA be?
The maximum amount of LHA paid will depend on:
- who lives with you
- what area you live in and the rate of LHA set by the Rent Service for the number of bedrooms you require
- what money you have coming in
- what savings you have
The LHA rates will be set by The Rent Service each month. For more details please follow this link.
Payment of LHA
In most cases we will pay LHA directly to you. You cannot choose to have your LHA paid direct to your landlord. We will pay LHA by Bank Credit Transfer (BACS), as this is a more secure way to pay benefit.
If you have a bank account you can arrange for your bank to pay your rent direct to your landlord. If you don’t have an account you may want to open one.
In some exceptional cases we may be able to pay your Local Housing Allowance directly to your landlord.
Who will not be affected by Local Housing Allowance?
The new rules will not apply to:
- Local authority tenants.
- Tenants of registered social landlords (housing associations).
- Tenants who have a registered or 'fair' rent.
- Tenancies which commenced before January 1989.
- Protected cases such as supported housing provided by social landlords, charities or voluntary organisations.
- Tenancies in caravans, houseboats or hostels.
- Claimants with a continuous claim from before the 7th April 2008. (Until there is a break in their claim)
- They also may not apply if your rent includes an amount for meals.
More information
Frequently asked questions for landlords Landlord Leaflet for LHA
Frequently asked questions for tenants Tenant Leaflet LHA
Our Safe Guard procedure
Basic Bank accounts
If you want to find out more now, you can find further information at the Directgov website and at The Rent Service website.
If you have any questions about LHA you can email the Benefit Section at benefits@easthants.gov.uk
Our Contact Details