Government defends freeze of Local Housing Allowance rates
3 months ago | 4 comments
Taskforce urges government to restore LHA rates
12:01 AM, 10th February 2026, 2 months ago
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As the number of people living in temporary accommodation rises, a taskforce has called on the government to restore Local Housing Allowance (LHA) rates.
The taskforce, made up of London councils, registered providers and social housing support service firm, Newbridge Advisors, says the supply of private rented sector homes at LHA levels needs to be increased to meet demand.
The news comes after the government froze LHA rates for 2026/27.
£2.84 billion spent on temporary accommodation
According to the report by Newbridge Advisors, more than 130,000 households in England are living in temporary accommodation, with 84,000 of those households including children. Councils across England spent more than £2.84 billion on support for temporary accommodation in the last year.
The report says, in particular, that London is facing an acute temporary accommodation crisis, with only 1% of London rental homes being affordable under LHA rates. The taskforce recommends restoring LHA rates, which have been frozen since April last year and haven’t kept up with rent prices.
The taskforce also reports that, under the Renters’ Rights Act, while it may bring stability for tenants, it remains to be seen how affordability will be impacted.
Despite bidding wars being banned, the taskforce says the vast gap between PRS rents and what the LHA provides still exists, and there is nothing to prevent landlords from increasing their initial asking price.
Build more social homes
The taskforce also recommends that councils strengthen their internal resources with appropriate skills and capacity, adopt a more diverse approach to sourcing homes, and provide residents with ongoing support to maintain long-term tenancies.
The report also calls for investors to work in partnership with councils to develop scalable solutions and deliver more social homes.
Janani Paramsothy, associate director at Newbridge, who put together the taskforce said: “The rise in temporary accommodation, and the conditions in which families can be stuck for years, is one of, if not the, most pressing issues manifesting as part of the housing crisis.
“While the expansion in social homes is sorely needed to address this, we hope that this report has set out more immediate actions which all interested actors can take to tackle the problem more urgently.”
Central government is playing a major role
Tom Copley, the deputy mayor of London for Housing and Residential Development said the government is working to tackle the crisis and calls for the private rented sector to help.
He said: “We all need to play a part in this vast challenge. Central government is playing a major role in giving people stability and security over housing, not least through its National Plan to End Homelessness, investment in social housing and much-needed rental reforms.
“We need private sector partners to provide innovative solutions, effective data, and investment to promote both innovative short-term solutions and stable pathways out of homelessness.”
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Member Since May 2017 - Comments: 765
11:06 AM, 10th February 2026, About 2 months ago
Ha Ha Ha!
Does Tom Copley think there is even a shred of goodwill left from private landlords?
Member Since May 2015 - Comments: 2203 - Articles: 2
11:10 AM, 10th February 2026, About 2 months ago
“Tom Copley, the deputy mayor of London for Housing and Residential Development said the government is working to tackle the crisis and calls for the private rented sector to help.”
After all that the government, both central and Local, has done to landlords, I would suggest that Mr Copley reads Genesis 1/28.
Member Since September 2018 - Comments: 3538 - Articles: 5
12:34 PM, 10th February 2026, About 2 months ago
“We need private sector partners to provide innovative solutions, effective data, and investment to promote both innovative short-term solutions and stable pathways out of homelessness.”
No.
We are not a ‘partners’ in reducing homelessness whatsoever. The PRS is not a gov quango not charity.
The PRS is an independent, stand alone, market driven private sector supplying accommodation to those who have the ability to rent privately.
End of.
Member Since May 2017 - Comments: 765
1:20 PM, 10th February 2026, About 2 months ago
Reply to the comment left by Reluctant Landlord at 10/02/2026 – 12:34
AND providing better quality than government backed providers
Member Since July 2013 - Comments: 754
3:15 PM, 10th February 2026, About 2 months ago
Is it April 1st?
Member Since May 2015 - Comments: 2203 - Articles: 2
4:09 PM, 10th February 2026, About 2 months ago
“The report says, in particular, that London is facing an acute temporary accommodation crisis”
So the solution for Hammersmith and Fulham is to clamp down on HMO conversions.
Member Since January 2023 - Comments: 22
6:56 PM, 10th February 2026, About 2 months ago
In Windsor and other castles and royal houses there are huge amount of empty rooms to house hundreds of families…fair share…what’s wrong with that?
Member Since January 2015 - Comments: 1447 - Articles: 1
3:24 PM, 14th February 2026, About 2 months ago
Restore?
Surely you mean increase LHA rates.
Member Since May 2015 - Comments: 2203 - Articles: 2
4:54 PM, 14th February 2026, About 2 months ago
Reply to the comment left by Freda Blogs at 10/02/2026 – 15:15
As far as government relations with landlords are concerned, every day is April 1st.
Member Since June 2013 - Comments: 582
12:30 AM, 15th February 2026, About 2 months ago
“We need private sector partners to provide innovative solutions, effective data, and investment to promote both innovative short-term solutions and stable pathways out of homelessness.”
In the last 25 years all I`ve met is a brick wall when I try to engage with the Council. They actively work against me rather than with me. They are divisive untrustworthy and incompetent .
I have a list as long as your arm where they have let myself or my tenants down . They currently owe me £1,800 for rent in advance and a deposit for taking in one of their homeless people . They said it would be with me in 5 – 10 days. That was 25 days ago.