Your LHA rate (or Local Housing Allowance rate) is determined by your Broad Rental Market Area and situation. Then, this will determine what you are eligible for, and what you could receive. Your Benefits will tell you all you need to know about your LHA rate in 2022.
How is my LHA rate calculated?
Your LHA rate (Local Housing Allowance rate) is based on a couple of factors. More specifically, they are as follows:
- Where you live;
- How many bedrooms your home has: this is in relation to how many people live with you, and what they are entitled to;
- How much rent you pay.
In terms of where you may live, first, your Broad Rental Market Area is identified. In fact, this is the area where all housing rented from a private landlord have fixed LHA rates.
Note that there may not be just one local council for every Broad Rental Market Area (BRMA). One Broad Rental Market Area may have more than one local council, and vice versa. Your BRMA dictates your LHA rate.
Note that some rooms do not count towards your LHA rates eligibility. More specifically, this is the case for toilets, kitchens, living rooms and similar rooms. These do not count towards how many bedrooms you and people living with you require.
What is my LHA rate?
Your LHA rate depend on a couple of things. More specifically, on some factors about your situation. Indeed, they are as follows:
- Your care or disability history;
- Your age;
- How much rent is in your area;
- The people you live with.
A LHA rate may differ depending on your Broad Rental Market Area. In fact, they are not the same depending on where you live. Additionally, you may find LHA rates on the Gov.UK website. Check out that website to see your exact LHA rate. Here are examples of some of the rates from April 2022:
| Examples of LHA rates from April 2022 | |||||
|---|---|---|---|---|---|
| Broad Rental Market | The tenant is entitled to one bedroom and shares other facilities | The tenant is entitled to one bedroom and does not share other facilities | The tenant is entitled to two bedroom | The tenant is entitled to two bedroom | The tenant is entitled to two bedroom |
| Harrogate | £75,00 | £120,82 | £153,04 | £182,96 | £246,25 |
| Inner East London | £136,50 | £295,49 | £365,92 | £441,86 | £585,70 |
| Lancaster | £70,25 | £96,66 | £120,82 | £138,08 | £161,10 |
| Mendip | £75,00 | £111,62 | £143,84 | £179,51 | £230,14 |
| Northampton | £89,50 | £126,58 | £159,95 | £184,11 | £234,74 |
What is my Broad Rental Market Area?
Your Broad Rental Market Area is an area that is fundamental for determining your LHA rate. Indeed, Broad Rental Market Areas are also different from local authority areas.
You may be unsure of what Broad Rental Market Area (BRMA) you live in. If this is the case, you may view both your Broad Rental Market Area (BRMA) and Local Housing Allowance (LHA) rate. Indeed, you may do this on the Gov.UK website, linked above.
When determining your LHA rate, you will have to enter details about your situation. For example, this can include the number of bedrooms that you have, as well as your postcode. Then, the website will be able to inform you of your Local Housing Allowance (LHA) rate, as well as your Broad Rental Market Area (BRMA).
What is my bedroom entitlement?
The number of people who live with you determines your bedroom entitlement. Additionally, their circumstances also play a role. Then, your bedroom entitlement is important to determine your LHA rate.
You may be a couple. In this case, both of you qualify for one bedroom together. However, you may be a private tenant living with joint tenants. Then, if you receive Housing Benefits, you may receive the shared accommodation rate.
You may also be private tenants, in a relationship, and getting Universal Credit. Additionally, you may live with joint tenants. Then, you may not have to earn the shared accommodation rate. However, please note that for this to be true, you must qualify for no more than one bedroom (as a couple).
What is my room entitlement if I am single?
You may qualify for one bedroom. In fact, this is likely true for you if you are single and 35 years old. However, if you are younger than 35 years old, you may then instead qualify for the shared accommodation rate. However, there are exceptions to this.
You may receive Housing Benefit. Indeed, you may live with joint tenants as well. Then, you may earn the shared accommodation rate. However, instead, you may earn Universal Credit. In this case, you are eligible for one bedroom.
The number of children that you have is what determines your bedroom eligibility. The age and sex of your children dictate this. More specifically, the following:
- You have two children 9 years or younger: they are assumed to be able to share a bedroom. This is regardless of sex
- You have two children 15 years or younger: they can share a room if they are of the same sex.
You may live with a couple. If you receive Housing Benefit, they are entitled to one bedroom. If you receive Universal Credit, each individual is entitled to one bedroom. Your bedroom eligibility determines your LHA rate. As such, it is good to know what is it.
