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The new LHA will be based
on rent levels for the area in
which a person lives and
how many people live with
them. There are no changes
to the entitlement rules —this
will be based on a person’s
income and savings and
proof of a valid tenancy.
Payment will normally be
to the tenant, who will then
pay the landlord.

Each local authority will be
divided into Rent Areas. Rent
Officers will set individual
LHA rates for each Rent Area.
These will be published by
the local authority so that
landlords and prospective
LHA customers can be clear
about the amount of rent that
LHA will cover in any given
circumstance.

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Prospective tenants will be
able to shop around with
their allowance. If they find a
property they like with a rent
that exceeds their LHA they
will need, as they do now,
to make up the difference
themselves. But if they find
somewhere with a rent below
their allowance, they will be
able to keep the difference.                                   Conwy
We are introducing LHA in
10 Pathfinder local authorities
over the next 8 months. Each
Pathfinder will run for about 2
years. We are doing this to test
the new arrangements and to
enable us to make sure we
take account of any issues that
arise. The local authorities we
are working with are:

 Blackpool
Brighton and Hove
Coventry

  Edinburgh
  Leeds
  Lewisham
  Middlesbrough
  North East Lincoinshire
Teignbridge

We chose these authorities
because they provide a
good mix of urban, rural and
seaside areas so we can fully
evaluate the scheme before
extending it nationally.

The first Pathfinders will begin
in October/November 2003,
with others following in the
subsequent months. The last
ones will have begun by the
end of February 2004. We
will provide full details of
when each Pathfinder will
start in our next newsletter.


Local Housing
Allowance?
LHA is a change to Housing Benefit for people living
in private rented accommodation. The changes affect
how Housing Benefit is worked out and how it is paid.
Where will LHA
be available?
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Why we are introducing the
Local Housing Allowance
The new system will bring the old Housing Benefit into the
21st century and give people more control over how they
manage their lives.

The fundamental aims of the LHA scheme are to promote:

Fairness: Tenants with similar circumstances living in the
same area will get the same amount of Housing Benefit.
At the moment the amount of benefit is set according to
the rent actually paid.

Choice: Tenants will be able to choose the quality and price of
their accommodatio.n. For example, tenants could choose to
pay more than the allowance they receive for accommodation
that is larger than they qualify for, or move to a less
expensive house and keep the difference.

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