Local Housing Allowance

(asked on 18th October 2022) - View Source

Question to the Department for Work and Pensions:

To ask His Majesty's Government what plans they have to increase Local Housing Allowance to support those most in need.


This question was answered on 27th October 2022

The level of Local Housing Allowance (LHA) rates is reviewed annually by the Secretary of State for Work and Pensions and a decision will be announced in due course.

LHA rates were increased in April 2020 to the 30th percentile of local rents, an investment costing nearly £1 billion and providing 1.5 million households with an average of £600 more housing support than they would otherwise have received.

LHA rates have been maintained at their increased levels since then ensuring that all claimants who benefited from the increased levels of housing support continue to do so. LHA rates are not intended to cover all rents in all areas.

For those who require additional support with housing costs, Discretionary Housing Payments (DHP) are available from local authorities (LAs). LAs make informed judgements about priorities and needs in their area to ensure that the most vulnerable are supported and funds are targeted effectively. Since 2011 we have provided almost £1.5 billion in DHPs to local authorities.

The government recognises the pressures people are facing with the cost of living and has taken further decisive action to support people with their energy bills. The Energy Price Guarantee is supporting millions of households with rising energy costs, and the Chancellor made clear it will continue to do so from now until April next year. This is in addition to the over £37bn of cost of living support announced earlier this year which includes the £400 non-repayable discount to eligible households provided through the Energy Bills Support Scheme. Also included is an extension to the Household Support Fund backed by £421m, running from 1 October 2022 to 31 March 2023.

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