The Government is making changes to the way Housing Benefit is calculated from 1st April 2011. Some or all of these change may apply to you, so please read the following information newsletter carefully.
Non
Dependant Deductions.
The deductions for non-dependants will be changing
from April 2011 in line with Government legislation.
The following table details the current weekly
deductions and the new weekly deductions, from April 2011.
If you are in receipt of Housing and or Council Tax
Benefit, we will write and tell you if the amount of benefit you receive will
change because of the increase in the non-dependant deductions.
Important changes to Housing Benefit from April 2011
The government is introducing important changes to
Local Housing Allowance from April 2011.
From 1st April 2011, the Local Housing Allowance (LHA) rates will be reduced nationwide. These changes will affect you if you are renting from a private landlord and receive Housing Benefit.
Who is affected?
If you are making a new claim for Housing Benefit, these changes will apply to you from 1st April 2011. If you are already claiming Housing Benefit, the changes are likely to affect the amount of Housing Benefit you receive, but you may have more time before these change apply to you.
How will this affect me?
Although the Housing Benefit regulations change in April 2011, not all customers will be affected immeadiately. Please see our fact sheet for more information.
If you are receiving Housing Benefit, we will be writing to you to explain the changes before 1st April 2011. A copy of the letter can be found here. It is important that you read the letter carefully and consider what you will do when the changes come on. If you need more information or advice, please contact our benefits team. You may also want to seek advice before you sign a new tenancy agreement.
Calculating the LHA rate
From 1st April 2011, the LHA rates will be calculated in a way as to produce lower amounts. The current calculation is based upon the median (or middle value, 50%) of the market rents, the new calculation will be based upon a lower 30th percentile of market rents.
We do not know what the LHA rates will be in April 2011, so at this time we are unable to provide an indication of how this will affect you. However, the Valuation Office (who calculate the LHA rates) have provided a table showing how the February 2011 LHA rates would have changed if calculated in this new way.
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Comparison of LHA rates calculated by median
and 30th percentile
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Portsmouth
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Shared room rate
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One bedroom
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Two bedroom
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Three bedroom
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Four bedroom
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Five bedroom
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Median percentile
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£68.00 per week
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£115.38 per week
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£144.23 per week
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£173.08 per week
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£253.85 per week
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£335.96 per week
|
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30th percentile
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£65.00 per week
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£114.23 per week
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£137.31 per week
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£162.23 per week
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£229.62 per week
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-
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· The five-bedroom rate has not been illustrated,
as it will not be available from April 2011
If you would like to know what your LHA rate is now, visit the LHA direct website at
https://lha-direct.voa.gov.uk/Secure/Default.aspx Please remember that the LHA rates may change each month.
To help you plan for the changes in LHA rates, you can compare the current rates against what the new rates are likely to be (called a shadow 30th percentile) for where you live, on the following website:
http://www.voa.gov.uk/lhadirect/LHA_percentile_rates.htmGosport is in BRMA ID 75, labeled Portsmouth.
