Local housing allowance

What is Local Housing Allowance?

Local Housing Allowance is a way of working out new claims for Housing Benefit for tenants renting accommodation from a private landlord. It also affects tenants already getting Housing Benefit who move into accommodation rented from a private landlord.

If you live in council accommodation or other social housing, Local Housing Allowance does not affect you.

Why Local Housing Allowance?

Local Housing Allowance gives tenants more choice in where they live and it’s fairer too. This is because with Local Housing Allowance:

• you are entitled to the same amount of benefit as people in the same circumstances as you
• you can find out how much benefit you can get before you rent a property
• you can decide how much of your benefit you want to spend on renting a property
• you will usually get your benefit paid to you
• it is your responsibility to pay the rent to your landlord
• you will find out about your benefit more quickly than before

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

Usually you will have your benefit paid directly to you. It will be paid directly into your bank or building society account, if you have one, or by cheque.

If you do not already have a bank or building society account, you may want to set one up. That way you can 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 a welfare organisation such as Citizens Advice. 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.

Help and advice

Please see the council’s Safeguard Policy for Tenants and Landlords. This policy will ensure that the safeguards in place are applied correctly, to help minimise the risk of tenants falling into arrears with the rent and losing their home and also to reassure landlords that their rent will be paid.