Private tenants and Local Housing Allowance
If you have made a new claim or moved since 7 April 2008 and are a private tenant, your Housing Benefit will be restricted by the Local Housing Allowance (LHA) which is set by Department of Work and Pensions and is based on rental prices in your area.
If your home is larger than you need or your rent is considered to be too expensive, your rent may not be covered in full by Housing Benefit.
Social tenants and social sector size criteria
If your landlord is a social housing landlord such as the council or a housing association, and you are of working age, your Housing Benefit is not based on rental prices in your area. If your home is larger than you need the 'Social Sector Size Criteria' rule applies.
Under this rule, the rent amount used to calculate your Housing Benefit will be cut by:
- 14% if you have one spare bedroom
- 25% per cent if you have two or more spare bedrooms
If you are over Pension Credit age, this size criteria for social tenants does not apply to your claim for Housing Benefit.