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Local Housing Allowance

Local Housing Allowance (LHA) is the way housing benefit is calculated for people who rent from a private landlord. The figure is used to determine the maximum amount of benefit you can receive. If you have been getting housing benefit since 7 April 2008, the Local Housing Allowance will only apply to you if you:

  • change address
  • have a break in your claim

Changes to Local Housing Allowance

From 1 April 2013 the LHA rates will change annually on 1 April. they are based on:

  • the number of bedrooms you need
  • the area in which you live

Visit our Changes to Benefits section for more information.

How benefit is calculated

The number of bedrooms a family needs is decided in the following way:

One bedroom for each of the following, counting each person once only, in the first group they come into.

  • a couple
  • someone who is 16 or over
  • two children of the same sex
  • two children who are younger than 10
  • a child (a 'child' is someone who is younger than 16)

We do not count children who only visit, however often, and whose usual home is elsewhere. We also do not count foster children.

To calculate the number of bedrooms that can be included, visit LHA Direct website.

Local Housing Allowance Rates

The following rates under April 2013 are effective from 1 April 2013 and will remain effective until 31 March 2014. The rates under April 2014 are effective from 1 April 2014 and will remain effective until 31 March 2015. For details of which areas are covered by each Broad Rental Market Area please see the maps in the Related Documents section at the bottom of this page.

Broad Rental Market Area: Central London

Property                      

Local Housing Allowance rate

April 2013          April 2014​

One bed shared​ £126.22               £131.27​
One bed self contained​ £255.50               £258.06​
Two bedrooms​ £296.38               £299.34​
Three bedrooms​ £347.48               £350.95​
Four bedrooms​ £408.80               £412.89​
 

Broad Rental Market Area: Inner East London

Property​

Local Housing Allowance rate

April 2013          April 2014​

One bed shared​ £94.38                £98.16
One bed self contained​ £245.00              £254.80 ​
Two bedrooms​ £296.38              £299.34​
Three bedrooms​ £347.48              £350.95​
Four bedrooms​ £408.80              £412.89

 

Broad Rental Market Area: Inner North London

Property​

Local Housing Allowance rate

April 2013          April 2014​

One bed shared​ £90.45                £94.07
One bed self contained​ £255.50              £258.06​
Two bedrooms​ £296.38              £299.34​
Three bedrooms​ £347.48              £350.95​
Four bedrooms​ £408.80              £412.89

 

Broad Rental Market Area: Outer North London

Property​

Local Housing Allowance rate

April 2013          April 2014

I Bed shared​ £83.80                 £87.15​
1 Bed self contained​ £184.62               £192.00
2 Bedrooms​ £236.08               £245.52
3 Bedrooms​ £300.00               £303.00
4 Bedrooms​ £370.00               £384.80

 

How much benefit can be paid

If LHA is lower than the your rent, you are responsible for paying the shortfall

If LHA is higher than your rent, you will receive up to the amount of your rent liability.

How payments are made

Payments will be made directly into your bank account, two weekly in arrears. We will not normally pay the landlord or agent. 

 

 Related websites