Local Housing Allowance

Local Housing Allowance (LHA) is housing benefit for tenants in privately rented accommodation which came into effect from 1st April 2008.

This simplifies the rules and allows tenants more freedom – both financially, and to choose where they live.

LHA is a flat rate allowance based on the size of household and the area in which a person lives. The amounts of LHA are set by the Rent Officer. This link opens in a new browser window

The actual amount we pay will also be based on a person’s income and savings and proof of a valid tenancy. Payment will normally be to the tenant, who will then pay the landlord.

Each local authority is divided into Broad Rental Market Areas (BRMA). Rent Officers set individual LHA rates for each BRMA. These are published by the local authority so that landlords and prospective LHA customers can be clear about the amount of rent that LHA will cover.

Prospective tenants can shop around with their allowance. If they find a property they like with a rent that exceeds their LHA they will need, as they do now, to make up the difference themselves.

Payment of LHA and Safeguard Policy

Generally, payment of this allowance will be made directly to the person claiming and not to the Landlord. However there are exceptions to this. The Safeguard Policy explains the circumstances where payment can be made to the Landlord directly:

Safeguard Policy (54.9KB) This document is a PDF file and will open in a new window. You will need Adobe Reader to view it.