Local Housing Allowance Rate 2024-25

Local Housing Allowance (LHA) has been reinstated to the 30th percentile from April 2024, after being frozen since 2020. This means the lowest 30% of private rents should become affordable to those claiming benefits, including our mid-market rent properties.

Rent2021 1

  • 28 May 2024
  • Mid Market Rent

What is Local Housing Allowance (LHA)

LHA determines the amount of housing support for Universal Credit and Housing Benefit claimants in private rented accommodation. It’s based on property size and 30th-percentile rent for different areas.  The increase will help low income families on benefits, providing an average increase of £800 per year towards housing costs.

How much will the Local Housing Allowance be?

The amount of Local Housing Allowance you could be entitled to will depend on your home, household income and circumstances. The table below shows the new maximum amounts for each property type.

BRMA Area 1 bedroom Shared 1 bedroom 2 bedroom 3 bedroom 4 bedroom
Fife £86.30 per week £103.56 per week £135.78 per week £164.55 per week £287.67 per week


Extra help is available if you have a rent shortfall

You can seek help from your local council if you’re facing a rent shortfall through Discretionary Housing Payments (DHP). There’s no guarantee of approval or duration of payment. However, if you were previously found not to be eligible for DHP, you might now qualify.

What do I need to do now?

If you’re already receiving Universal Credit or Housing Benefit for housing costs then the new rate will be applied automatically from April 1st. If you’re not currently getting help with housing costs but facing financial strain or experiencing changes, it’s important to review your benefit entitlement. 

Remember to update your Universal Credit journal or inform your Local Housing Benefit team of any changes to prevent payment shortfalls or over-payments.

Unsure if you are entitled to LHA, or would like to discuss further?

We have a Tenancy Support and Wellbeing Officer here to help you.   Please call Danielle on 01592 721917 or email housing@orevalleyha.org.uk.

Learn more about Local Housing Allowance