LHA – rent increases

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  • #34133
    jbj
    Participant

    What happens to a contractual rent increase on a LHA case – can the LHA amount be changed

    #95506
    Anonymous
    Guest

    The LHA amount will not be re-assessed, but if you are paying the landlord as the claimant is vulnerable, then the apportionment may be changed.
    E.g. (assuming the claimant is getting maximum HB) rent is £80, LHA is £100, then max is £95 – £80 to landlord, £15 to claimant.
    Rent goes up to £90 – £90 to landlord and a fiver for the claimant.

    A change in rent is not a change materially affecting a LHA assessment 8)

    #95507
    jbj
    Participant

    Thanks for reply but need a definitive reply on contractual rent increases – Can we raise the amount of HB providing it keeps below the LHA max?

    example
    all payments to claimant

    HB £90.00 excess £15.00 – LHA £125.00pw
    Pay £105.00pw
    Contractual rent inc to £110.00 – can I now increase this to pay on £125.00 (£110 + £15) as it has not changed the LHA amount

    I have been told two different answers Yes and No
    Thanks

    #95508
    David
    Participant

    As you’ve determined the maximum rent (LHA) it applies for 12 months. Therefore, in your example you continue to pay £105 until the anniversary.

    #49363
    jbj
    Participant

    Under the now old scheme – a contractual rent increase would have been re referred to the rent service within the 52 weeks of the anniversary – thus increasing the amount of HB based on the new decision if higher – has this now being removed for LHA cases where we cant now consider contractual rent increases

    #49364
    Anonymous
    Guest

    We’ve said it twice….. 😉
    The only changes in circs that will affect the LHA rate (and therefore the maximum benefit) are a change of address or a change in household members meaning different number of bedrooms. 8)

    #95509
    cbuck
    Participant

    Or a death that doesn’t lead to a change in the number of bedrooms.

    I had been suggesting this route as a way for claimant’s to get the advantage of a rent increase when it was pointed out that a less drastic solution was to get somebody to move in/ out!

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