Propertymark’s long-standing campaign
We consistently campaigned for LHA rates to reflect the cheapest 30% of local rents, ensuring that those who rely on welfare support can access and sustain tenancies in the private rented sector.
As a proud member of the Cutting the Cost Coalition, we work alongside tenant and homelessness charities, local government, and other landlord bodies to advocate for this reform.
Our welfare position paper, Improving access to the PRS for welfare-dependent tenants, makes the case for HM Treasury to:
- Restore LHA rates to the 30th percentile of local rents, and
- Introduce annual uplifts so that support keeps pace with the real cost of renting.
Freezing LHA has left too many people locked out of homes they can afford. Restoring support to reflect real market rents would sustain tenancies, reduce arrears, and give landlords greater confidence to let to tenants receiving benefits.
Influencing parliament
Propertymark will continue to work with coalition partners to press the Treasury and Department for Work and Pensions ahead of the Autumn Budget and a Westminster Hall debate on Tuesday 21 October, which will discuss a recent report from the APPG for Ending Homelessness – including a recommendation to restore LHA to align with real rents and prevent evictions as the most impactful immediate step.
Housing support falling behind soaring rents
The rate of LHA, which determines how much private renters on benefits can claim to cover rent, has been frozen for four of the past five years despite rents rising far faster than inflation. Between August 2024 and August 2025, the average private rent increased by 5.7 while inflation stood at 4.1%.
Research shows that just 2.7% of private rental listings are now affordable to those on housing benefit, down from 12%in 2021–22. For some households, this means finding more than £400 extra each month to cover rent shortfalls.
Councils in England spent £2.8 billion on temporary accommodation last year, up 25 in 12 months, while the number of children living in such accommodation has reached 170,000.
Why the uplift matters
Restoring LHA to cover at least the bottom 30% of rents would lift 75,000 children and 125,000 adults out of poverty across the UK, thus preventing thousands from falling into homelessness, easing pressure on councils and temporary accommodation.
Failure to act, the coalition warns, directly undermines measures in the Renters’ Rights Bill designed to improve access for people receiving benefits and substantially increases the risk of homelessness.
