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Maybe it’s because I’m a Londoner The impact of LHA changes and the benefit cap on London.

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Presentation on theme: "Maybe it’s because I’m a Londoner The impact of LHA changes and the benefit cap on London."— Presentation transcript:

1 Maybe it’s because I’m a Londoner The impact of LHA changes and the benefit cap on London

2 Poverty in London The poverty rate in London is 28% compared to 22% of the rest of England, and the gap has grown in the last decade 220,000 households in overcrowded accommodation, up 60% in the last decade Proportion of households in temporary accommodation 10 times higher than the English average, 75% of English households in temporary accommodation in London, most in PRS

3 LHA changes - April 2011 LHA rates set at 30 th percentile LHA rates capped at: –One bed shared or self contained £250 –Two bed £290 –Three bed £340 –Four bed £400 LHA rates capped at 4 beds Extra room for carer £15 excess removed

4 Other changes LHA rates uprated on basis of CPI Household benefit cap - £500 per week per household, from April 2013 WTC, DLA/PIP exempt WRA received Royal Assent 8/3/12

5 Effects on London Overall LHA cap and 4 bed rate – of 21,000 claimants likely to be affected, 17,410 from London – average loss £81 per head Household benefit cap – 54% of affected households in Greater London – mean reduction £83 per week, median reduction £56 per week 17,000 households subject to household benefit cap also subject to LHA cap


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