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Housing Benefit cut confusion..."Valuation Office Agency"?

I just received a letter from Camden about my housing benefit saying they were reducing it from £80 per week (which left me with a £35 shortfall) to £67 per week (£48 weekly shortfall)...I am on incapacity benefit and thus my £110 weekly income means they take around £9 off the maximum housing benefit available.

I live in a shared accommodation 3 bedroom flat in North London and the total rent is £1560 per month. Weekly rent for my room is £115. This is regarded as a very cheap flat (and looks it) and I very rarely see anything cheaper in the surrounding areas. In fact a 3 bed flat in the identical adjacent building next door recently went for £153 per week. I have researched this thoroughly because there was a possibility I might have to move out because of damp.

However according to "Valuation Office Agency" the rent charged here is more than similar properties in the area. The Rent Service has decided the maximum they can use to work out my Housing Benefit is £77.14 per week. However there is no reasoning behind this number. I looked at the LHA page - it should be £96.96 for shared accomodation North London...am I understanding this LHA info correctly?

http://www.voa.gov.uk/LHADirect/BRMA_June_2011.htm

I have emailed them to ask why as they could not explain on the phone...can anybody suggest anything I can do? Does this sound normal?

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