We are also concerned that the Government’s decision to re-freeze Local Housing Allowance (LHA) rates from April 2025 will undermine the impact of additional homelessness grant funding. We have seen compelling evidence that this is a false economy. Re-freezing LHA rates is likely to leave many families unable to afford rising private sector rents, placing them at risk of homelessness and relying on temporary accommodation. It is far more expensive for local authorities to support families onc...

We are also concerned that the Government’s decision to re-freeze Local Housing Allowance (LHA) rates from April 2025 will undermine the impact of additional homelessness grant funding. We have seen compelling evidence that this is a false economy. Re-freezing LHA rates is likely to leave many families unable to afford rising private sector rents, placing them at risk of homelessness and relying on temporary accommodation. It is far more expensive for local authorities to support families once they are in temporary accommodation. (Conclusion, Paragraph 88) Type: conclusion | Number: 21 | Response status: not_accepted Government response: The Government currently spends around £34 billion annually on housing support including around £12 billion in the private rented sector. Local Housing Allowance (LHA) rates, which set the maximum level of support in the private rented sector, were last increased in April 2024 costing approximately