Discretionary power to pay LHA direct to LL - in return for reducing rent

tbs624

30 November 2010 – Housing Benefit reforms will restore fairness to broken system

Ministers today reaffirmed their determination to drive private sector rents for Housing Benefit recipients down, and stop taxpayers paying over the odds by announcing discretionary powers for local authorities to make direct payments to landlords in return for reducing their rents. The announcement comes as Housing Benefit Regulations are laid in Parliament today.

The Government is taking necessary steps to manage Housing Benefit costs and are implementing all Local Authority Housing Allowance measures announced in the emergency Budget in June 2010.

To avoid families being disrupted twice, first by the Caps in April 2011 and then by the reduction in Local Housing Allowance to the 30th percentile in October 2011, they will now both come into force in April 2011 for new customers.

However, existing customers will be exempt for up to 9 months from the date their claim is reviewed by their local authority. This will allow them time to adjust to any reduction in Housing Benefit entitlement and in practice means many existing customers will not be affected until after January 2012.


Source


So, if you have LHA Ts in place would you consider reducing the rent in exchange for direct payment?

Hammyman

My property, I'll decide what I charge for letting it out. Having the LA make payments direct won't sway me in any way, especially as the posts on the benefits forum show many of the HB departments can't work out their !!!!! from their elbow.

clutton_2

the government set local housing allowance levels.. and now they dont like that they have become market rents and are asking landlords to reduce their rents .... i dont think so........