Breaking: LHA rates to be frozen from April 2012

We have just learned from the Department for Work and Pensions that LHA rates are to be frozen from April this year.

Officials are saying that this is an “immediate change” to prepare for the pegging of LHA rates to the Consumer Price Index (CPI) measure of inflation in 2013. However, it is not something landlords knew they had to prepare for.

The Chancellor had announced this linking of LHA rates to CPI in his June 2010 budget.The subsequent detail has been that from April 2013, LHA rates will change only once a year and will be set at either: the previous annual rate uprated by the September Consumer Price Index, or the 30th percentile of local rents (whichever is the lowest).

The NLA will be updating members as soon as more information is available. We are working to understand the impact this change is likely to have on landlords and tenants.

You can contact the NLA’s policy team at

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