New formula for calculating local rent levels

New formula for calculating local rent levels

Local Housing Allowance rules

Local Housing Allowance rates are set at the 30% rent level for the local Broad Rental Market Area. This means that about 3 in 10 properties for rent in the area should be affordable to people on Housing Benefit or the Housing Costs element of Universal Credit.

Old Local Housing Allowance rules (pre-April 2011 claimants)

Local Housing Allowance rates were previously set at the median (50%) rent level for the local Broad Rental Market Area before April 2011. This meant that about 5 in 10 properties for rent in the area were affordable to people on Housing Benefit.

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