How much will housing benefit personal allowance go up in April – how it will affect you explained

HOUSING benefit is set to rise by 3.1% next month, meaning some households could be as much as £8.85 a week better off.

MPs voted for the rise at the end of last year and at the time, the increase was in line with the rate of inflation.

1

Benefits usually rise each year to keep up with rising prices of everyday goods and services, like food and fuel.

But since the decision was made, inflation has risen to 5.5%, adding to the pressures on household budgets.

How much is housing benefit going up by?

Personal allowances for housing benefit are increasing, but that doesn’t necessarily mean you will get more money.

For example, in some circumstances, including if you receive housing benefit alongside Universal Credit, the amount you get is calculated without regard to the personal allowance.

Housing benefit is usually worked out by adding together personal allowances and any additional “premiums” you could be entitled to, both of which are set by the Department for Work and Pensions.

Most read in Money

Premiums include some disabilities, or if you are caring for someone who is disabled.

Your income and renting situation is then also taken into account, along with any dependants you live with, to come up with an “applicable amount” – the amount the government thinks you need to live on each week.

If your income is the same as or less than your applicable amount, you could get maximum eligible housing benefit.

You may still be able to get some housing benefit if your income is greater, but this depends on your individual circumstances.

Here is how the personal allowances are changing.

Single person

• Aged under 25: Increasing from £59.20 to £61.05
• Any age and on main phase ESA: Increasing from £74.70 to £77.00
• Aged between 25 and state pension credit age: Increasing from £74.70 to £77.00
• Has reached pension age: Increasing from £191.15 to £197.10

Lone parent

• Aged under 18: Increasing from £59.20 to £61.05
• Any age and on main phase ESA: Increasing from £74.70 to £77.00
• Aged between 18 and state pension credit age: Increasing from £74.70 to £77.00
• Has reached state pension age: Increasing from £191.15 to £197.10

Couple

• Both aged under 18: Increasing from £89.45 to £92.20
• One or both aged between 18 and state pension credit age: Increasing from £117.40 to £121.05
• Any age and on main phase ESA: Increasing from £117.40 to £121.05
• One or both have reached pension age: Increasing from £286.05 to £294.90

Other

• Dependent child/young person aged under 20: Increasing from £68.60 to £70.80

We’ve rounded up the full list of benefits rising in April, including Universal Credit and child benefit.

Plus, here is all the energy bill help still available for struggling households as temperatures dip.

And thousands of families have just weeks left to apply for help from their local council’s Household Support Fund.

Who is eligible for housing benefit?

To claim housing benefit you usually have to have a low income or be claiming other benefits, and be at least 16 years old, or if you’ve been in care, at least 18 years old.

You will also either have less than £16,000 in savings or be getting the guarantee part of Pension Credit.

You won’t know exactly how much housing benefit you’ll get until after you’ve applied.

It also depends on if you’re a private renter or living in a council accommodation.

For example, if you’re a private tenant the amount you can claim is based on how many bedrooms you are thought to need for your household.

For private renters, the maximum housing benefit payment you can usually get is called the “Local Housing Allowance” rate.

As this varies depending on where you live, it’s best to check the local housing allowance rate in your area on the Gov.uk website.

If you already claim housing benefit, your money is typically paid every two or four weeks or monthly, depending on when your rent is due.

The way you get paid also varies depending on who you pay your rent to.

If you’re a private renter, it will typically be up to you to make sure you pay your landlord the money out of the funds you receive.

How can I find out how much I’m entitled to?

The way the benefit is calculated is complicated, so speak to your local council or JobCentre Plus to see how the changes will affect you.

If you’re unsure what you could be entitled to, use the Turn2us benefits checker.

You also need to tell the DWP if your circumstances have changed, for example if another family member has moved in with you.

This could affect how much you can claim and you may be entitled to more money.

What other benefits are going up next month?

An increase of 3.1% will see the basic amount for couples on Universal Credit rise by nearly £16 a month.

Pension Credit will rise from £177.10 a week to £182.60 or for couples, from £270.30 to £278.70.

And families with two kids will be better off by nearly £60 a year as child benefit amounts will go up too.

Meanwhile, the higher rate Attendance Allowance will rise from £89.60 to £92.40 a week, while the lower rate will also go up from £60 to £61.85.

Other benefits including Maternity Pay, Statutory Sick Pay, Carer’s Allowance and Personal Independence Payments are also increasing by 3.1%.

This post first appeared on thesun.co.uk