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Local Housing Allowance - Information for Claimants

Local Housing Allowance is a way of working out new claims for Housing Benefit, which are made on or after 7 April 2008, from tenants renting accommodation from a private landlord.  It will only affect tenants who already get Housing Benefit if they move into new accommodation rented from a private landlord.  

Local Housing Allowance will not affect you if you rent from the Council or a Housing Association; if your tenancy started before 1989; if you rent a caravan; or if you live in a hotel or hostel.

Why is Local Housing Allowance being introduced?

Local Housing Allowance gives tenants more choice in where they live, and it's fairer too.  This is because with Local Housing Allowance:

  • you will be entitled to the same amount of benefit as other people in the same circumstances
  • you can find out how much benefit you can get before you rent a property
  • you can decide how much of your benefit you want to spend on renting a property
  • you will usually get your benefit paid to you.  It is up to you to pay the rent to your landlord.
  • you will find out about your benefit more quickly than before.

How much Local Housing Allowance will I get?

The amount of Local Housing Allowance you will get will depend upon:

  • the number of bedrooms you need
  • what income and savings you have
  • how much your rent is
  • whether anyone living with you is expected to contribute to the rent.

To work out how much benefit you might get, you need to work out how many bedrooms you are entitled to by checking the list below.  You can then check the Local Housing Allowance rates against the number of bedrooms.

How many bedrooms am I entitled to?

We work this out by taking into account the number of people who live with you, and their ages.  We do not count other rooms such as living rooms, kitchens or bathrooms.  The number of bedrooms you are entitled to is then used to work out which Local Housing Allowance rate usually applies to you.

The usual rules are that you are entitled to one bedroom for:

  • every adult couple (married or unmarried)
  • any other adult aged 16 or over
  • any two children of the same sex aged under 16
  • any two children aged under 10
  • any other child.

Some further rules apply:

  • If you are under 25 you will be entitled to the Local Housing Allowance shared room rate.
  • If you are over 25 and live in shared accommodation you will be entitled to the Local Housing Allowance shared room rate.
  • If you are under 25 and classed as severely disabled you will be entitled to the Local Housing Allowance one bedroom.

We will publish the Local Housing Allowance rates every month.  You can check the rates for your area by contacting us by telephone, visiting our office or by checking our pages on the Internet

What if my rent is not the same as the Local Housing Allowance rate that applies to me?

If you find a property you like with a rent that is more than your Local Housing Allowance, you will need to pay the difference yourself.  However, if you find somewhere with a rent below your Local Housing Allowance rate, you will be able to keep the difference up to a maximum of £15.00 per week.

How will I get my benefit if Local Housing Allowance applies to me?

Usually you will have your benefit paid directly into your bank or building society account.

  • If you do not already have a bank or building society account, you will have to open one.  That way, you can arrange to pay the rent to your landlord automatically, using a standing order.
  • You can get advice about opening and running a bank account from any bank or building society, an organisation such as Citizens Advice or Money Advice or, you can contact us for a leaflet on “Basic Bank Accounts”.
  • It is up to you to pay the rent to your landlord.  If you don't pay your rent, you may be taken to court and evicted from the property.

Can I have my benefit paid direct to my landlord?

Not normally.  Your benefit will be paid directly to you.  In some cases we can consider making payments direct to your landlord where

  • we decide that it is likely you will have difficulty in managing your finances.  This may be because you have a learning disability, or problems with drugs or alcohol
  • it seems unlikely that you will pay your rent.  You may have failed to pay your rent in the past
  • if you have rent arrears of eight weeks or more.

A form must be completed to request direct payment to a landlord.  Evidence to support this request must also be provided.  This request can be made by you, your landlord or another interested party on your behalf.

What will happen if I use my benefit for something else?

Your benefit is for you to pay your rent.  If you do not use your benefit to pay your rent, your landlord may take you to court or try to evict you and you may lose your home.

Where to get more information

If you want to know more about the changes and how they affect you, you can: