Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, if her Department will make an assessment of the potential merits of conducting a review into the extent to which universal credit payments could take into account rent costs with the objective of preventing private renting tenants from falling into rent arrears.

Rent costs are already taken into account within the housing element of Universal Credit.

The Local Housing Allowance determines the maximum financial support available for Universal Credit claimants who rent in the private sector.  Local Housing Allowance rates provide a reasonable amount of support with housing costs but are not intended to meet all rents in all areas.

To support claimants, there are measures in place which can help to protect tenancies. These include managed payments to landlords, more frequent payments and deductions to repay rent arrears. In response to Covid-19 we increased LHA rates to the 30th percentile of local rents in April 2020. This significant investment of nearly £1billion has provided 1.5 million claimants with an average £600 more housing support last year than they would otherwise have received. We have also maintained Local Housing Allowance rates at the same cash level for 2021/2022.

For those who require additional support with housing costs, Discretionary Housing Payments (DHPs) are available. Since 2011 we have provided over £1 billion in DHP funding. We have allocated a further £140 million for DHPs for 2021/22 in England and Wales.