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Local Housing Allowance

Asked by Mary GlindonLabourDepartment for Work and PensionsTabled Answered 4 September 2024UIN 2895

The question

To ask the Secretary of State for Work and Pensions, if she will make it her policy to ensure local housing allowance keeps pace with median rent prices.

Answered by Sir Stephen Timms

The Local Housing Allowance (LHA) determines the maximum housing support for tenants in the private rented sector.

Households in similar circumstances living in the same area are entitled to the same maximum rent allowance regardless of the contractual rent paid. LHA rates do not cover all rents in all areas.

Any decisions on LHA in 25/26 need to be taken in the context of the Government’s missions, housing priorities and the fiscal context. LHA rates were restored to the 30th percentile of local market rents from April 2024, at a cost of £1.2bn in 2024/25 and £7bn over five years.

For those who need further support, Discretionary Housing Payments (DHPs) are available from local authorities.

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