1st March 2017
With the increase in homelessness and shortage of council and housing association properties it must be time to stop the freeze on LHA rates.
Its now been two years since the freeze on local housing authority (LHA) rates. The 2015 announcement from the Chancellor that rates would be frozen at 2016/2017 level for a period of four years.
The LHA is paid to landlords in the private rented sector from benefit claimants. This freeze is also included those in receipt of Universal credit.
The most noticeable effect being that private landlords will be less willing to accommodate tenants on benefits. As ever increasing homeless waiting lists is a reality.
Something needs to be done about this, there is a definite link between the LHA freeze and people being declared homeless.
DSS Select said: “Cuts to housing support accelerate and exaggerate current homelessness problems because they block off opportunities for accommodation in the private rented sector.”
“If the least affluent are to be housed in the private rented sector—as they must be, because there is a woeful lack of available council and housing association accommodation—then the DWP must return to paying the same rent as the landlord can get from other tenants.”
The government has indicated that the money saved from the LHA freeze will go to help reducing homelessness and help landlords in areas hit by the biggest market rent rises. That remains to be seen.
Stop the freeze if we are to open up the private rented sector to the homeless and those on benefits.
DSS Select
