Local Housing Allowance introduced
A new government scheme might help some of Britain's low-income tenants pay off debt and pay off credit cards.
Ministers unveiled the reforms to housing benefits yesterday - which will see funds paid directly to its recipient.
The scheme, known as Local Housing Allowance (LHA), has been subject to several successful pilot schemes in recent years - and has now been rolled out nationwide.
It is hoped that this move will encourage the renters to manage their own budgets better, put them in a more stable financial position and allow them to return to work more quickly.
Minister for employment and welfare reform, Steven Timms, commented: "The LHA is a central part of the government's wider programme of benefit reform.
"It's a radical change to the way Housing Benefit is paid in the private rented sector and will help people take action towards managing their own bank accounts, making it easier for them to move off benefits and in to work."
The reforms will come into effect immediately.
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