In this section
 
 

Local housing allowance

Local Housing Allowance is being introduced on 7 April 2008 and is a new way of working out Housing Benefit for tenants who pay rent to a private landlord.

Local Housing Allowance will not affect you if you pay rent to the Council or to another social landlord, such as a Housing Association or charity. But you could be affected by the changes if you move address on or after 7 April 2008 and pay rent to a private landlord.

Follow this link to find out more about the Local Housing allowance(pdf, 68KB)

What happens if I am already getting Housing Benefit?

If you are already getting Housing Benefit on 7 April 2008, you will not be affected by these changes unless:

  • You move address to a home rented from a private landlord – you must tell us straightaway if you change address
  • You have a break in your claim – if you stop claiming benefit for any reason (for example moving into work) any new claim for benefit will be worked out using the Local Housing Allowance.

Who will get Local Housing Allowance?

Local Housing Allowance only affects tenants who rent their home from a private landlord. If a private tenant makes a new claim for Housing Benefit which starts on or after 7 April 2008, any entitlement to benefit will be worked out using the Local Housing Allowance rates.

How much Local Housing Allowance can I get?

Local Housing Allowance is a flat rate based on your household size and where you live. The rates are set by The Rent Service, an executive agency of the Department for Work

and Pensions. You will be able to find out the rate that will apply to you, before deciding whether to rent a property. Details of the Local Housing Allowance rates will be available from late March 2008.

Local Housing Allowance is not based on how much rent you pay. It is based on:

  • Who lives with you
  • Which area you live in
  • How much money you have coming in
  • What savings you have.

In some cases the amount of benefit you get will be affected by other things. These can include:

  • How much your rent is
  • Whether anyone living with you is expected to contribute to your rent

There is no change to the entitlement rules for Housing Benefit – these will still be based on a person's income, savings and proof of rent.

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

Usually you will have your benefit paid direct to you. It can be paid directly into your bank or building society account. This is a safe and easy way to get your housing benefit. You can then 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. You can also get advice from any citizens advice bureau. Please contact us if you would like more information about opening a bank account.

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?

Your benefit is paid to you unless you are likely to have difficulty paying your rent, or it must be paid to your landlord (such as when you have rent arrears). If you are worried about managing your money you will need to contact us. In some cases we may be able to pay your rent to your landlord.

Follow this link to download a request to pay Local Housing Allowance to the landlord form(pdf, 41KB)

Changes of circumstance

If you are getting Housing Benefit and you move to a new address or other circumstances change, you should tell us straightaway. You may need to make a new claim for Housing Benefit

Where to get more information

If you want to know more about the changes and how they might affect you please:

This page contains links to PDF documents. To read these you need the free Adobe Reader software. Follow the link below to download this software from Adobe's website:
Get Adobe Reader (link to Adobe's website)
For advice on the reader's accessibility features see Access Adobe