Changes to Housing Benefit, Local Housing Allowance and Council Tax Benefit

From April 2011 onwards there are changes to some of the rules which apply to Housing Benefit (including Local Housing Allowance) and Council Tax Benefit.

Some of the changes will limit or reduce the amount of benefit we can pay. If you are getting Housing Benefit, thinking of applying for it or moving home, you may need to consider these changes to LHA before you renew or make a new tenancy agreement with your private landlord.

Changes to all Housing Benefit (HB) and Council Tax Benefit (CTB) claims

  • An increase to non-dependant deductions. This is the amount we have to reduce your benefit by if someone other than a child or partner lives with you. This is usually someone over 16 or 18, typically a grown up son or daughter. The amount of the deduction depends on the amount the non-dependent earns, not  the claimant.
  • For the highest earners the non dependant deduction has increased by £12.85 per week. This means that the amount a tenants Housing Benefit will be reduced is £60.60 per week
  • For a full list of the April 2011 deductions please click Non- Dependant Deductions 2011 (.pdf, 18kb)
  • More help for disabled people who have a carer staying overnight but does not normally live with them. If you rent a property with an extra bedroom for your carer, your Housing Benefit will take into account that extra cost.

Changes to Local Housing Allowance (LHA) from April 2011(private rented tenancies only):

  • The extra amount of Housing Benefit ('top-up') that some customers get where their rent is less than the LHA rate for that size of property will stop.
  • Limiting the LHA to the four bedroom rate. This will be the most you can get, even if you have to live in a five bedroom property.
  • Reducing the LHA rates by changing the way they are calculated.  We will not be told the new rates for April until mid - March. However, for an indication of how much they may be please go our April 2011 LHA rates page.
  • More help for disabled people who have a carer staying overnight but does not normally live with them. If you rent a property with an extra bedroom for your carer, your Housing Benefit will take into account that extra cost.
  • We can now consider paying LHA directly to your landlord if that will help you get or keep a tenancy at the lower rent level. Find out more on our direct payment to landlords page
  • The introduction of upper limits ('caps') on LHA. However, none of these limits are expected to affect any properties in Wigan.

What if I am already getting LHA?

LHA is awarded for a fixed period. Providing that the household doesn' t change (for example, someone moves in or out of your home) then the LHA amount doesn' t change for 12 months.

For example, LHA is awarded in April 2010 and stays fixed at that amount for 12 months. In April 2011 it would change to that months (in this case April 2011) rate.

However, if the household changes at any time then the LHA is amended and fixed for another 12 months or until another change happens. Each time the LHA rate changes then a new anniversary date is set for 12 months later.

If you are already receiving housing benefit (LHA) on 1st April 2011, then you may get up to 9 months protection. This protection will start from your anniversary date. This means that many customers will not see any change to their housing benefit until January 2012 and some will not be affected until later.

Please note, however, that if you are getting the 'top up'  you will not be entitled to any protection.

But, remember if your household changes or you move address this protection may no longer apply.

Contact Details

Benefits
E-mail benefits@wigan.gov.uk
Opening Hours Monday to Friday 8.45am to 4.30pm
Phone Number 01942 828644 8.00 to 17.00 Monday to Friday
Textphone (Minicom) 01942 828725
Fax 01942 828613
Facilities Disabled Access,  Disabled Parking,  Disabled Toilets,  Parking, 
Address Wigan Council, Council Tax Offices, Moore Street East, Wigan, WN1 3XN
Location

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