Important changes to Housing Benefit

There are important changes to Local Housing Allowance from April 2011. These changes will affect people who receive Housing Benefit who pay rent to a private landlord. These are important changes that will have far reaching impact on Citizens who contribute to social wealth, who may have lost their jobs due to Government cuts, or you simply find your self in continued need of housing support. This will also have an impact on local economies

Who is affected?

If you are making a new claim for Housing Benefit, these changes will apply to you from this 1 April 2011.

If you are already claiming Housing Benefit, the changes are likely to affect the amount of money you get towards your rent. If you are already claiming Housing Benefit, you may have more time before these changes apply to you.

If your circumstances don’t change, you will continue to get the same rate of Local Housing Allowance as you get now. This will continue for nine months after your local authority next assess your Housing Benefit, after 1 April. The information here will help you work out how the changes will affect you, or you can contact your local authority.

In addition, Citizens Advice Bureaux offer advice. Visit their website < for further information] Shelter can also help. Phone the free helpline on 0808 800 4444 [explore BBC Guide explore our guide < for further information ]

From  April 2011 the rates for Local Housing Allowance will be reduced across the country:

Weekly excess

The maximum £15 weekly excess that some customers can get will be removed.

Limits on payments

A limit will be introduced so that Local Housing Allowance does not exceed:

  • £250 a week for a one bedroom property (including shared accommodation)
  • £290 a week for a two bedroom property
  • £340 a week for a three bedroom property
  • £400 a week for a four bedroom property

The maximum rate of Housing Benefit will be limited to the rate for a four bedroom property.

Explaining the changes


These changes will affect almost everyone who is claiming Local Housing Allowance

 

Local authorities will be writing to people getting Housing Benefit about the changes. It is important that you read the letter carefully and seek further advice as you will need to consider what to do when the changes come in.These changes will affect almost everyone who is claiming Local Housing Allowance. You may want to contact your local authority to find out how this is likely to affect you. You may also want to seek advice from your Housing Benefit office before you sign a new tenancy agreement.

To help you plan for the changes next year you can compare the current rates against what the new rates are likely to be for where you live.