Local housing allowance
From January 2012 the Government changed the rules that apply to single people who are aged under 35 who rent from a private landlord (not from a Housing Association). People in this age group may only be entitled to the lower rate of Housing Benefit / Local Housing Allowance for a room in shared accommodation.
Local Housing Allowance (LHA) is a flat rate allowance based on the rent levels for the area in which the person lives and how many people live with them. It is not based on the actual rent charged.
Prospective tenants will be able to shop around with their allowance. If the tenant finds a property they like with a rent that is more than their LHA then they will know how much extra they will have to pay.
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