Question to the Department for Work and Pensions:
To ask the Secretary of State for Work and Pensions, what assessment he has made of the potential impact of the decision not to uprate Local Housing Allowance on Universal Credit claimants experiencing homelessness.
The Department for Work and Pensions worked closely with the Ministry of Housing, Communities and Local Government on the National Plan to End Homelessness which includes targeted prevention measures to support people at higher risk of homelessness. The Government’s investment in homelessness and rough sleeping services is now over £4.4 billion over the next three years and builds on the actions set out in that strategy.
The Government’s key priority is to secure an adequate number of decent, affordable homes, providing an additional £1.5 billion at Budget and taking total investment in the Social and Affordable Homes Programme to more than £40 billion over ten years.
The Secretary of State reviewed Local Housing Allowance (LHA) rates at Autumn Budget and confirmed in his written statement that rates will be maintained in 2027/28 at their current levels. A range of factors were considered including the current level of welfare support provided overall, other Government priorities and the fiscal context. The LHA increase in 2024 cost an additional £7 billion over 5 years.
For those who need further support to meet a shortfall in rent costs, Crisis and Resilience Fund (CRF) Housing Payments are available from local authorities in England.