Housing Benefit

Housing Benefit helps people on low income pay their rent. The amount you could receive depends on several factors: your income, savings, rent amount, where you live (the Local Housing Allowance rate for your area), your household size, and the ages of people in your household. In some cases, Housing Benefit can cover your full rent.

Housing Benefit is gradually being replaced by the housing element of Universal Credit for most working-age claimants. However, if you are over State Pension age, you can still make a new claim for Housing Benefit directly through your local council. Working-age people who are already receiving Housing Benefit may continue to do so until they are moved to Universal Credit through the managed migration process.

For people over State Pension age, Housing Benefit can be particularly valuable when combined with Pension Credit. If you receive Pension Credit Guarantee Credit, you may be entitled to full Housing Benefit — meaning your entire rent is covered. Your local council administers the benefit and makes the payments, usually directly to your landlord or into your bank account.

The Local Housing Allowance (LHA) rate sets the maximum Housing Benefit for private renters in each area. LHA rates are based on the number of bedrooms you are entitled to and the rental market in your broad rental area. If you rent from the council or a housing association, your Housing Benefit is based on your actual rent rather than the LHA rate.