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Changes to social housing benefits - examples

Examples of when this change would affect you:

John aged 29 is single starts his tenancy in Skelmersdale on 4 April 2016 His rent is £83.45.  He receives £83.45 in housing related benefits which covers his rent

On 2 April 2018 John will be affected by LHA which will reduce his housing related benefit to the shared room rate £57.57 meaning John will need to pay £25.88 to cover the shortfall in his rent.

Paul, aged 37, is single and lives alone. He has a tenancy which started 13 June 2014. He receives Universal Credit. Paul moved to Skelmersdale on 14 September 2017 to a one bedroom flat.  His rent is £94.51.  He receives housing related benefit of £94.51 which covers his rent.

On 2 April 2018 Paul will be affected by LHA which will reduce his housing related benefit to the single room rate £80.55 meaning he will need to pay £13.96 to cover the shortfall in his rent as he moved after 1 April 2016

John and Susan aged 31 have one child. They start a tenancy in Skelmersdale on 13 June 2016.  Their rent is £104.51. They receive £104.51 housing related benefit which covers their rent. On 15 November Susan moves back to her mum's with their child. John remains in the tenancy.

On 2 April 2018 John will be affected by LHA rate will reduce his housing related benefit to the shared room rate £57.57 meaning John will need to pay £46.94 to cover the shortfall in his rent.

 

Examples of when this change would not affect you:

Peter aged 24 is single and lives alone. He has a tenancy which started on 23 March 2015. He receives Universal Credit. On 2 April 2018 his circumstances remain the same.

On 2 April 2018 Peters LHA rate will remain the same as his tenancy started before 1 April 2016.

Sarah aged 26 is single and lives alone. Her tenancy started 1 August 2014. Sarah receives housing benefit. On 2 April 2018 her circumstances remain the same.

On 2 April 2018 Sarah’s benefit for their rent will remain the same as she is entitled to the severe disability premium and her tenancy started before 1 April 2016.

Michael and Sue both aged 26 live alone. They start a tenancy in Skelmersdale on 11 May 2016. Their rent is £80.00. They receive £80.00 housing related benefit which covers their rent

On 2 April Michael and Sue’s benefit for their rent will not reduce as their LHA rate is higher than their rent.