How will Local Housing Allowance be paid?

Local Housing Allowance (LHA) is usually paid direct to your tenant. Your tenant cannot decide to have their LHA paid to you.  It will then be up to you to collect your rent. We can consider paying LHA to you if we decide your tenant is vulnerable.  A Safeguard Policy has been produced to provide guidance in order to identify potential tenants that may have difficulty in managing their affairs or have built up rent arrears. For the full policy please see the document at the bottom of this page.

What do we mean by Vulnerable?

By vulnerable we mean someone who may have difficulty managing his or her money.  We do not mean someone who does not want to pay his or her rent.

Who decides who is Vulnerable?

The Housing Benefit Service will decide if your tenant is vulnerable.  We must have evidence that the tenant cannot manage their money.  Evidence must usually be in writing.   People who can give evidence include (this list is not exhaustive):  

• The tenant
• Friends and family of the tenant
• Creditors/Court Orders
• Welfare groups (including money advisors)
• Social Services
• GP
• Probation Officers
• DWP
• Hospital
• The Pension Service
• Care Support Workers
• Homeless Teams We will work with your tenant in making our decision.

The changes will not affect you if:

• Your rent charged has been registered as a 'fair rent'.
• Your tenant's tenancy started before 1989.
• Your accommodation provides your tenant with care, support or supervision.
• The property you are renting is a caravan, mobile home or houseboat. They also may not apply if the rent charged includes an amount for meals.  

Associated documents:

  LHA Safeguard policy - January 2008  (0.06 MB)
Local Housing Allowance - an introduction to tenants  (0.04 MB)
Local Housing Allowance - if you are aged under 25  (0.04 MB)
Link 11  ( MB)