From 7 April 2008, anyone who rents their home from a private landlord and makes a new claim for, and is entitled to, Housing Benefit will have their benefit worked out using a new scheme called Local Housing Allowance.
Private Tenants Currently Receiving Housing Benefit
Local Housing Allowance (LHA) will only replace Housing Benefit for all new private tenants in Eastbourne from 7 April 2008. If you are currently receiving Housing Benefit your claim will continue and you will not fall under the new LHA Scheme.
However, if you wish to change your claim over to the new scheme you may do so. To do this you need to write to us and withdraw your claim for a week, and clearly state that this is so you can change your claim over. After this point you will need to make a new full claim for Benefit again which will then be based on the Local Housing Allowance scheme. Your Council Tax Benefit will not be affected.
If you rent from the council (Eastbourne Homes Limited) or a Housing Association you will not fall under the new LHA scheme.
Aims
The Local Housing Allowance (LHA) scheme aims to:
be fair
to give you more choice and makes these choices clearer
to increase Financial Inclusion. This helps you budget your money and pay your rent
reduce barriers to work by setting new rates of help
be more simple. LHA is based upon the number of bedrooms you need. This relects the way rented property is advertised.
Who can get LHA?
If you live in the Eastbourne area, have a low income and pay rent for your property to a private landlord you may be able to claim LHA.
You can’t claim if you have savings over £16,000, unless you are aged 60 or over and receive the Pension Credits (guarantee credit).
There are special rules if you are a full-time student or live abroad.
How much LHA will I get?
The LHA is set each month by the Rent Service.
Most tenants receive the LHA based on the number of bedrooms their household needs not the number of rooms in the property they rent or the rent that they are charged.
If the LHA allowance is more than your rent then you can keep the difference, up to a maximum amount of £15.00 per week. This cap of LHA applies to all LHA applications for help in paying your rent.
The LHA awarded to you when you make a claim lasts for one year unless your household circumstances change. After one year the allowance is updated and you do not need to reclaim.
