Local Housing Allowance (LHA)

What is Local Housing Allowance (LHA)?
If you are a private tenant renting property or a room from a private landlord PDF file Local Housing Allowance (297KB - 07 September 2011 - PDF Help) determines how much Housing Benefit you get. If you have been getting Housing Benefit since before 7 April 2008, the Local Housing Allowance only applies to you if you:

  • change your address
  • have a break in your claim

With the Local Housing Allowance, your Housing Benefit is worked out according to where you live and who lives with you. How much you get will depend on your circumstances.

Local Housing Allowance Rates
LHA Rates are set for different types of accommodation in each area, ranging from a single room in a shared house up to properties with 4 bedrooms.

How are Local Housing Allowance Rates calculated?
LHA Rates are calculated each month for specific areas known as Broad Rental Market Areas. There are three Broad Rental Market Areas for East Devon:

  1. PDF file Mid and East Devon (3791KB - 21 February 2012 - PDF Help)
  2. PDF file Exeter (3587KB - 21 February 2012 - PDF Help)
  3. PDF file Mid and West Dorset. (1124KB - 21 February 2012 - PDF Help)

If you claim Housing Benefit under the Local Housing Allowance rules, you should be able to afford three in ten of the properties available for rent.

Who will you pay the Local Housing Allowance to?
LHA is nearly always paid directly to a customer, except in very special circumstances when we will pay it to the landlord. Those circumstances include when a tenant is deemed to be vulnerable.

What are the LHA 'Caps'?
With effect from April 2011, the Government has introduced an overall cap on 1 to 4 bedroom properties so that the maximum that anyone can get on each of these bedroom sizes is restricted to the following weekly rates:

1 bedroom 2 bedroom 3 bedroom 4 bedroom
£250 £290 £340 £400

These caps are only likely to affect people living in the London area.
The maximum level of LHA that anyone can get is for a 4 bedroom property.
PDF file Our booklet (280KB - 06 September 2011 - PDF Help) tells you about all the changes to Housing Benefit which were introduced from April 2011 and how they may affect you.

Where are the LHA rates published?
They are published each month on this website. You can also go direct to the LHA website where you can search for LHA rates by local authority, Broard Market Rental Areas and postcode. This will tell you how much help with your rent you might get before you find somewhere to live, making it easier for you to decide what property you can afford.

Page last updated on 28 March 2012