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Benefits of LHA

Benefits of LHA

LHA refers to Local Housing Allowance and is part of the Housing Benefit for eligible citizens in the UK.  Those who can claim this allowance are people who are tenants or renters of private homes and apartments but do not have the means to pay.  The calculation of LHA is dependent upon different factors such as the total household income and the number of people and dependents in a particular household.  The Local Housing Allowance can provide the following benefits to eligible individuals or families:

1. Extra cash for other needs

The local housing allowance is generally able to pay a family’s rental fees for a given month for example.  With assistance for rental needs, more needy families will be able to have some budget for their other needs and concerns.  Instead of having to pay for shelter, a family’s minimal earnings may be allocated for other important items such as food, clothing, and even the kids’ or dependent’s educational needs.

2. Decent living space

Through the local housing allowance, households will be able to afford decent living space.  Allocations for the allowance will be based on the household income and corresponding number of people involved, whether dependents or non-dependents.  Adult couples for example are entitled to their own bedroom allocation.  Another adult child will also get his/her own room while 2 under-aged children can share one room.  These room allocations under the local housing allowance will provide poor families with a decent place to do their day-to-day activities.

3. Better life

Poor and needy families in the UK will basically have a better financial status because of the local housing allowance.  Many of them can attend to their other needs as their shelter expenses are already covered and taken-cared of.

The best thing about the LHA or local housing allowance is that the claims will be re-assessed annually.  If a particular household has financial improvements for example, they may get less allowance the year after.  And on the other side, if another family needs more assistance due to fewer savings or additional dependent, they will get an appropriate re-assessment and possible increase in allowance.

Benefits of LHA



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