Local Housing Allowance Rates

How are the LHA rates set

The rates are set by the Rent Service.

The Rent Service has divided the country into Broad Rental Market Areas (BRMAs), each containing:

  • a range of properties
  • different types of tenancies
  • facilities and services such as hospitals, schools and transport
  • a range of rents

The Rent Service sets the rates of LHA for each BRMA at the mid-point of the range of rents in that area. There are different rates of LHA depending on the size of the property you need.

The size of accommodation needed for your household is taken into account.

It is based on the number of bedrooms that you need. This may not be the same as the number of bedrooms in the accommodation.

The rules say that one bedroom is needed for each of the following:

  • a couple
  • a single adult/young person (over 16)
  • two children of the same sex aged 10-15
  • two children under the age of 10
  • any other child

Here are some examples of how to work out the rate of LHA based on the size of the property.

Example 1

A couple with two children aged 4 and 6 need one bedroom for the couple and one bedroom for two children under 10. They get the two-bedroom rate of LHA.

Example 2

A single adult has a daughter of 8 and a son of 12. They need one bedroom for the single adult and one bedroom for each child. They get the three-bedroom rate of LHA.

Example 3

A couple have two sons of 17 and 13 and a daughter of 15. They need one bedroom for the couple and one bedroom for each child/young person. They get the four-bedroom rate of LHA.

The rates are reviewed annually. The rates for this year are shown below.

Rates from 1 April 2022 to 31 March 2023

Dwelling LHA Weekly LHA Monthly
1 room - shared b/wc & kitchen - or single and under 35 years of age £94.82 £410.89
1 bedroom £158.79 £688.09
2 bedroom £189.86 £822.73
3 bedroom £253.15 £1096.98
4 bedroom and above £390.08 £1690.35