Housing benefit changes from 1 April 2011: Housing benefit tenants get the cheapest properties
Housing benefit is now limited according to where you live. Local limits were reduced by the Government on 1 April 2011 and are now based on the cheapest 30 percent of properties in an area instead of the cheapest 50 percent.
This means that the Local housing allowance (LHA) rate you will be allowed will be reduced so you will only be able to afford the rent of the cheapest 30 percent of the properties available in you area.
We are concerned that people claiming housing benefit will only be able to afford the worst and least desirable properties as a result of this change in housing benefit.
Who will the new limited housing benefit payments affect?
- Those making a new claim after 1 April 2011, your LHA will be based on new, lower limits for your area (as above)
- If you were already claiming LHA, this will be reassessed and the new rates will apply nine months after the anniversary of your claim, or earlier if your circumstances change.