Local Housing Allowance
From 7 April 2008 a new form of Housing Benefit is being introduced called Local Housing Allowance (LHA).
Welcome to Solihull Metropolitan Borough Council’s Local Housing Allowance homepage.
The Local Housing Allowance scheme is designed to be a simpler and fairer way of working out Housing Benefit for people on a low income who live in private rented accommodation and need help to pay their rent.
It is based on:
- Who lives with you
- What income and savings you have
It is not based on how much rent you pay
You will only be affected by the change if you rent your home from a private landlord and:
- You make a new claim for Housing Benefit on or after 7 April 2008
- You change address on or after 7 April 2008
- You are already claiming Housing Benefit but there is a break in your claim for one week or more.
Local Housing Allowance will not apply to:
- People who rent their home from the Council
- People who rent their home from a Registered Social Landlord or Housing Association
- People whose tenancy started before 1989 or who have a registered fair rent
- People who live in supported accommodation
- People who live in hostels, caravans and houseboats
It may also not apply if your rent includes an amount for meals.
Your Local Housing Allowance (LHA) will be calculated on the number of rooms your household needs not the number of rooms in the property or the amount of rent you are charged.
The number of bedrooms you need is based on the number, age and gender of people you have living with you.
You are allowed one bedroom for:
- A couple
- Any other adult (age 16 or over)
- Any two children under the age of 10
- Any two children of the same sex under the age of 16
- Any other child under the age of 16
From 7 April 2008 the LHA rates will be set by the Rent Service. To check your LHA please visit the Direct.Gov website. The Rent Service will provide rates for households that require up to five rooms.
If the LHA is more than your rent you are entitled to keep the difference up to a maximum of £15.00 per week. The LHA rate that your claim is assessed on will be the rate effective on the date you make your claim. This will last for one year unless your household circumstances change.
For single claimants under 25 years old there will be a "shared" rate of LHA that replaces the single room rent. This rate will also apply to single people over 25 and couples with no other occupiers who chose to live in shared accommodation.
Payment of Local Housing Allowance
Usually you will have your Local Housing Allowance paid directly to you. It is then your responsibility to pay the rent to your landlord. If you don’t pay your rent your landlord may take action against you.
If you do not already have one, you may want to set up a bank account. That way you can pay the rent to your landlord by setting up a standing order or direct debit. You can get advice about opening a bank account from any Solihull Connect Office or via the Contact Centre. The staff there will be pleased to help you.
We have also compiled a leaflet 'Guide to Basic Bank Accounts' which is available as an attachment on the right..
If you are worried about managing your money, please ask us if we can help. In certain circumstances we may be able to pay your rent directly to your landlord.
Contact Details
If you have any other questions regarding Local Housing Allowance please contact the Council’s Benefit Advice line on 0121 704 8200 or by email at benefits@solihull.gov.uk
More information on the Local Housing Allowance is available on the Department for Work and Pension's website.