Local Housing Allowance rate freeze to be lifted
Blog posted by: Louise Weaver, Monday, 13 January 2020.
In a statement to the House of Commons on 13 January, Will Quince MP announced that the Government will end the four-year freeze to Local Housing Allowance rates from 1 April 2020.
When it was introduced in 2008, Local Housing Allowance (LHA) covered 50% of local rents. In 2011, this was reduced to 30% and in 2012, the link between the rates and local rents was broken. This led to shortfalls between the level of LHA and the true cost of renting in many parts of the country. LHA rates were then completely frozen for four years from April 2016.
Our members have persistently raised this as a core challenge both as a contributor of homelessness and a barrier to people moving on from hostels. Last year in our Annual Review, 71% services said LHA rates were a barrier to move on.
Responding to the announcement that the rate freeze will end in April 2020, Rick Henderson, Chief Executive of Homeless Link, yesterday commented:
“It is clear that the freezing and capping of Local Housing Allowance rates has led to a rise in homelessness, so we are extremely pleased to hear that the lifting of the freeze is soon to be written into law, a move that we have long campaigned for. However, this change alone will not be enough. To ensure that everyone has a home that they can afford, the Government must do more to bring the LHA rate back in line with local rents. Today’s announcement will raise LHA rates in line with the Consumer Price Index (CPI) inflation rate, which is around 1.5%, but this still leaves a significant shortfall in many areas of the country.
“Homeless Link will continue to work with government and our members to make sure that LHA covers the true cost of renting and does not contribute to homelessness in England.”
Latest News from
“You can’t do Housing First to people.” How the second evaluation of the Housing First regional pilots shows the importance of choice and co-production30/07/2021 11:10:00
Blog posted by: Alex Smith, Thursday, 29 July 2021.
New templates to help recruitment27/07/2021 11:10:00
Blog posted by: Mike Wilson, Monday, 26 July 2021.
The end of communal night shelters?21/07/2021 15:25:00
Many councils, charities and faith groups are starting to think about their local emergency winter provision and for some the prospect of communal sleeping spaces will once again be under consideration. There are a number of factors which could influence decisions including the further relaxation of covid restrictions, vaccination progress, rising rate of rough sleeping and the rising rate of covid infections to name just a few.
Our new Equalities, Diversity and Inclusion Strategy19/07/2021 15:20:00
Blog posted by: Rick Henderson, Monday, 19 July 2021.
Bringing our community together, our new member logos12/07/2021 10:20:00
In our new strategy, Shaping the Future Together, we explain that our members are ‘the beating heart of all we do’. Our strength as an organisation lies in our members: their skills, experience, resources and passion. It is a sentiment that runs through our strategy for 2021-2024 and is in our DNA and our Values.
Co-Production in Action09/07/2021 10:15:00
This National Co-production Week we’d like to take the opportunity to tip our caps to the many Homeless Link members leading the way in co-producing services.
Expressions of interest open today for training and coaching programme, Responding to the Resilience Risk 205/07/2021 12:25:00
The Expression of Interest for Responding to the Resilience Risk 2 opens today and closes on 12th July.
How can I help someone sleeping rough in hot weather?30/06/2021 11:10:00
Blog posted by: Fiona Colley, Tuesday, 29 June 2021.