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Local Housing Allowance is a form of Housing Benefit for tenants who rent from private landlords.

It is a flat rate of benefit based on the number of bedrooms you need, not how many bedrooms your home actually has. The number of bedrooms allowed depends on who lives with you as part of your household. Local Housing Allowance does not depend on how much rent you pay, but you cannot receive more benefit than the amount you pay for rent.

The maximum amount of benefit may be reduced depending on your income, capital, or other people who live with you.

Working out your Local Housing Allowance rate

Your Local Housing Allowance rate is based on how many bedrooms your household needs. You are allowed 1 bedroom for:

  • an adult couple
  • someone aged 16 or over
  • two children aged under 10
  • two children of the same sex aged under 16
  • any other child
  • a carer who does not live you but stays overnight to look after you or your partner
  • a disabled child who is unable to share a bedroom due to their disability
  • being a foster carer, whether you have a child fostered with you or not

The highest amount of benefit you can receive is a 4 bedroom rate even if the size of your household is such that you would be entitled to more than 4 bedrooms.

Weekly rates of Local Housing Allowance for 2024-25

Number of rooms required Bolton & Bury Central Manchester
1 bedroom shared accommodation £78.59 £94.72
1 bedroom self contained accommodation £109.32 £178.36
2 bedrooms £132.33 £201.37
3 bedrooms £161.10 £218.63
4 bedrooms £218.63 £310.68

The Bolton and Bury rates apply to properties to the north of the M60/M62 motorway. This includes addresses in Bury, Radcliffe, Ramsbottom, Tottington and most of Whitefield.

The Central Manchester rates apply to properties to the south of the M60/M62 motorway. This area covers addresses in Prestwich and a small part of Whitefield.

Restrictions for single people aged under 35

Single tenants aged under 35 and living on their own in privately rented accommodation are restricted to the one room shared accommodation rate regardless of the type of property they live in.

They are some exemptions from these rules:

  • people who are classed as severely disabled. This is normally means they are receiving middle or higher rates of Disability Living Allowance or Attendance Allowance, have no one else living with them, and no one receives carer's allowance in respect of them
  • people who have spent at least three months in a hostel or hostels for the rehabilitation or resettlement of homeless people
  • ex -offenders over 25 who are subject to Multi Agency Public Protection Arrangements.