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Local Housing Allowance

Local Housing Allowance is the way we work out claims for Housing Benefit for tenants renting accommodation from a private landlord. It also affects tenants already getting Housing Benefit who move into accommodation rented from a private landlord.

Local Housing Allowance gives tenants more choice in where they live. And it’s fairer too.

The amount of benefit you get will depend on the amount of bedrooms you need.  More information on how we calculate the number of bedrooms you need is available here.

Local Housing Allowance Rates

We have two broad rental market areas - Newcastle and Shropshire - and the rate for each of these areas may differ slightly.

Under the new Welfare Reform changes there was a four-year freeze to Local Housing Allowance rates from 2016-17 to 2019-20.  However, from April 2020 the rates have now increased.  Please see the rates below:-

April 2020


April 2019


April 2018


April 2016


April 2015


Paying your rent

Usually you will have your Local Housing Allowance paid directly to you and it is up to you to pay the rent to your landlord. If you don’t pay your rent you may be evicted from the property. If you do not already have one, you may want to set up a bank account. That way you can pay the rent to your landlord by standing order or direct debit. You can get advice about opening and running a bank account from any bank or building society of your choice. We have a list of local banks and building societies to help you. You can also get advice from a welfare organisation such as Citizens Advice.

If you are worried about managing your money, ask us if we can help. In special cases we may be able to pay your rent to your landlord.

What else might affect your Local Housing Allowance?

  1. If you share some or all of the facilities in the property - for example the kitchen and bathroom you may get the shared accommodation rate.
  2. Additional bedrooms - if you require overnight care and you or your partner are in receipt of Attendance Allowance, middle or high rate care component of Disability Living Allowance, the daily living component of Personal Independence Payment, if the carer regularly stays overnight and you provide a bedroom for your carer, you could be entitled to an additional room on your Local Housing Allowance rate.  Additional bedrooms can also be allowed for foster children.  However, the total number of bedrooms cannot exceed four.
  3. If you are aged 35 or over and live alone - if you are 35 or over and live alone you can get the rate for a one-roomed property. For example, this could be a one-bedroom self contained flat.
  4. Claimants aged under 35 years who live alone - if you are aged under 35 and live alone you can only get the shared accommodation rate unless you are entitled to the severe disability premium.
  5. If the size of your household changes - any changes in the size of your household will affect the LHA rate used to work out your benefit. Your benefit will also change when a member of your household has a birthday that will affect the LHA rate (for example when a child turns 16). You must notify us immediately if anyone moves in or out of your household.

 Apply for Housing Benefit and Council Tax support

If you wish to apply for Housing Benefit and Council Tax Support please complete the Online Claim Form.

Last updated 2 April 2020

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