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Local housing allowance

Local Housing Allowance (LHA) - is a form of housing benefit for private tenants which came into effect from 7 April 2008. Payment is made to the tenant, who then pays the landlord. Council tenants are not affected by the LHA and will continue to receive housing benefit.

The amount of money you'll receive is based on:

  • The area you live in
  • Who lives with you
  • The money you and your partner have coming in, including earnings, some benefits and tax credits and things like occupational pensions
  • Your savings and your partner's savings

It doesn't depend on how much rent you pay. If your rent is higher than Local Housing Allowance, you'll need to make up the difference. - this won't affect other benefits you may be getting.

Why the change?

The original housing benefit system was too complicated, and so the government has introduced Local Housing Allowance as a fairer, clearer system that gives tenants a choice over where they live, and personal responsibility for their rent. The Department for Work and Pensions (external link) website outlines the aims of LHA.


Local Housing Allowance links

Local Housing Allowance rates


Related information



Last Updated: 4/4/2014

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West Lancashire Borough Council, 52 Derby Street, Ormskirk, West Lancashire L39 2DF
Tel: 01695 577177 | Email: customer.services@westlancs.gov.uk