I’m very pleased to announce Local Housing Allowance (LHA) will be increased by £1.2 billion in April. Around 1.6 million private renters are set to receive a substantial boost as we launch the legislation to deliver much needed help with the cost of living and against the challenges post pandemic and in a difficult geopolitical time.
I am delighted to be the Minister at DWP which landed this massive investment from the Prime Minister and the Chancellor supported by the DWP Secretary of State Mel Stride MP, which will be up to £7 billion the next 5 years.
Here is a link to an article in The Express on what it means for families: DWP announces average £800 boost for Britons on Universal Credit or Housing Benefit | Personal Finance | Finance | Express.co.uk
Keeping inflation down and supporting people to stay and progress in work is the best way we can bolster families’ finances and help them progress, but we know some are still struggling which is why we are providing this important extra help.
This key boost to our housing support will see average renters around £800 better off. It is just one crucial part of our £104 billion package cost of living support package to help the most vulnerable which also includes an increase to benefits in line with inflation and our latest series of cost-of-living payments. It will help people living in the most expensive areas to be able to stay and work often where the jobs they have are there too.
Crisis Chief Executive, Matt Downie said:
It cannot be understated just how vital this investment in housing benefit will be in helping to both prevent and end homelessness. In recent years, people receiving housing benefit have found it increasingly difficult to afford the soaring cost of rents. Giving housing benefit this crucial boost will make a real difference to people across Great Britain and will relieve some of the pressure facing people on the lowest incomes. We hope this investment will be maintained for the long term, so we can continue with our collective mission to end homelessness for good.
Discretionary Housing Payments (DHPs) are available to those entitled to Housing Benefit or the Housing element of Universal Credit who face a shortfall in meeting their housing costs. Since 2011, the Government has provided around £1.6 billion in DHPs to local authorities.
Further information about the cost-of-living payments can be found here: https://www.gov.uk/guidance/cost-of-living-payment