Government announces changes to Under 35 exceptions to Local Housing Allowance rate

In our blog following the budget, we announced that there will be changes to the under 35 exceptions, relating to the LHA rate, which will impact on both Local Housing Allowance and Universal Credit claimants. Originally these changes were supposed to be introduced in October 2023 but were brought forward by the Government in response to the Covid-19 pandemic.

We want to highlight this change in order to make landlords aware that some under 35s will be able to claim more in Universal Credit from next month. The necessary Regulations will be laid on 6 May 2021 and come into force on Monday 31 May 2021. Affected claimants will be entitled to claim the exemption from that date.

Who does this apply to? From the 31^st May 2021 tenants, under 35, no matter whether they are living in a self-contained or shared accommodation will be able to receive the 1-bedroom rate of LHA if they meet the following criteria.

• They are a Single Parent
• Part of a couple
• Single tenants in receipt of:
  • Middle or higher rate of DLA (Care)
  • Daily Living component of PIP
  • Attendance Allowance
• Anyone aged 18-25 who were Care Leavers, before they were aged 18.
• Ex Homeless Hostel dweller, who has spent 3 months or more in non-self-contained accommodation & received help with rehabilitation & resettlement. The period of 3 months doesn’t have to be consecutive.
• Anyone, living rough, placed in hotels by LAs, Charities etc during COVID crisis, for 3 months or more, who move in mainstream PRS tenancy (e.g., studio, or 1 bed flat).
• Ex serious offender Under MAPPA

You can read more about our campaign regarding our calls for increased LHA rates here. And you can read our guide on LHA rates here.