Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what recent assessment she has made of the effect of the increase in the rental cost of the private rented sector on people in receipt of Local Housing Allowance.

Broad Rental Market Areas, of which there are 192 in Great Britain, are determined in accordance with requirements laid down in legislation. Each Broad Market Rental Area must contain a variety of property types and tenures, sufficient privately rented accommodation and access to facilities for health, education, recreation, banking and shopping. The boundaries of Broad Rental Market Areas are set by rent officers based on these factors. If at any time, rent officers decide that a boundary should be moved they must carry out a review, consulting with affected local authorities among others, and then submit a recommendation to the Secretary of State for the Department for Work and Pensions to decide.

In April 2020 Local Housing Allowance rates were increased to the 30th percentile of local rents. This investment of nearly £1 billion provided 1.5 million claimants with an average £600 more housing support in 2020/21 than they would otherwise have received.

We have maintained Local Housing Allowance rates at the same cash level for 2021/22, rather than reverting back to previous rates.

Local Housing Allowance rates are reviewed each year, taking account of local rental data collected by rent officers.