New analysis by London Councils has revealed a significant reduction in the number of homes affordable to Londoners in receipt of Local Housing Allowance (LHA) over the past four years, with no properties affordable to claimants in certain parts of the capital. These Londoners face an average shortfall of £50.71 per week, with households trying to bridge the gap through cutting back on essential spending such as food or utilities; or taking out loans.
The financial pressures are pushing many into rent arrears, putting them in danger of becoming homeless. Cllr Muhammed Butt, London Councils’ Executive member for welfare, empowerment and inclusion, said: “Keeping LHA frozen during a period of fast-rising rents has made private renting in the capital increasingly unaffordable.
The resulting pressures on household finances are immense and a crucial factor in the increase in homelessness, with the number of homeless households in London 50 per cent higher at the end of 2017/18 compared to 2010/11.” Grants committee AGM The London Councils’ Grants Committee AGM takes place today, Wednesday 10 July. Agenda items include election of chair and vice chair of the committee.