How is Local Housing Allowance worked out?
How is Local Housing Allowance worked out?
LHA is based on the number of bedrooms you need:
One bedroom is allowed for:
- every adult couple
- any other adult aged 16 or over
- any two children regardless of sex aged under age 10
- any two children of the same sex aged under 16
- any other child
For example:
- A man and wife plus two children age 11 and 17 are entitled to the three bedroom LHA rate.
- A single parent with a daughter age 5 is entitled to the two bedroom LHA rate.
Single people aged under 25 are entitled to the standard rate for a bedroom in shared accommodation. This shared rate will be based on properties where a tenant has the exclusive use of only one bedroom and where the tenancy provides for him to share the use of one or more of:
- a kitchen
- a bathroom
- a toilet
- a room suitable for living in
Single people aged over 25, care leavers under 22 and couples with no dependent children will be entitled to the rate for a one-bedroom property, e.g. a one-bedroom flat or studio or other kind of self-contained accommodation, provided they actually rent a property of at least this size
Changes to LHA from 6 April 2009
From 6 April 2009 anyone changing address or making a new claim for LHA who is entitled to more than 5 bedrooms will have their benefit restricted to the 5 bedroom rate.
Also, claimants will no longer be allowed to an extra £15.00 maximum on top of their rental charge if their rent is below the LHA rate applicable to them.
How do the changes from 6 April 2009 affect existing claimants of Local Housing Allowance?
People who already get LHA for six or more bedrooms will continue to receive this rate until their cases are reviewed or their circumstances change requiring a new LHA rate.
At this point their claim will be assessed according to the five bedroom rate appropriate to the area in which they live.
However, the amount they receive will be protected at the higher rate for a further 26 weeks. Once this period has ended, their claim will then be re-assessed according to the five bedroom LHA rate.
If you would like more information on Local Housing Allowance or the changes from 7 April 2008 please email your enquires to
housing.benefits@torbay.gov.uk or write to us.
How is Local Housing Allowance calculated?
There are no changes to the Housing Benefit entitlement rules which is still based on a person’s financial circumstances, proof of a liability to pay rent and occupation of the dwelling.
This means that tenants with the same circumstances and living in the same Broad Rental Market Area will be entitled to the same rate of LHA.
For example, if your rent is less than the LHA for the type of property you need, you will be able to keep the extra money up to a maximum of £15 per week (only up until April of 2010). However, if the actual rent charged is greater than the LHA rate, you will have to pay the difference to the landlord from your own funds.
How much LHA will I get?
The amount you are entitled to is dependent on;
- Your family's income.
- Your family's level of savings.
- Household composition.
- The number of non-dependents (other adults in your household) and their income.
- The amount of rent you are liable to pay.
- Your age and the age of the people in your household.
- Any premiums you are entitled to because of your household composition, age or health.
- The month in which you make your benefit claim.
Local Housing Allowances are set each month by the Rent Officer. The amount you will get is dependent on the month in which your claim is made.
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Last updated : 09.07.2010, 10:20:38