Local Housing Allowance

(asked on 29th November 2023) - View Source

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 refreezing of Local Housing Allowance after 2025 on low income renters.


Answered by
Mims Davies Portrait
Mims Davies
Minister of State (Department for Work and Pensions)
This question was answered on 4th December 2023

The Secretary of State has completed his review of Local Housing Allowance (LHA) rates for 2024/25. As announced by the Chancellor in the recent Autumn Statement, from April 2024 the Government will be investing £1.2 billion increasing LHA rates to the 30th percentile of local market rents. This results in a significant investment of £7bn over five years and ensures 1.6 million private renters in receipt of Housing Benefit or Universal Credit will gain, on average, nearly £800 per year in additional help towards their rental costs in 2024/25.

The Secretary of State has committed to reviewing LHA rates annually and the rates for 2025/26 have not yet been reviewed.

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