From The Evening Standard:
Housing benefit would be increased for tens of thousands of people in London under Liberal Democrat proposals.
Lib-Dems are proposing to link local housing allowance, which private renters on housing benefit can receive, to average rents locally "so that the benefit reflects the actual cost of renting. LHA is currently capped and linked to the lowest rental costs in an area.
This would mean huge rises in housing benefit for many people who live in high-rent areas such as Westminster, Chelsea, Kensington, Fulham, Islington and Richmond.
The Lib-Dems estimate the housing benefit reform would cost about £3 billion a year by 2020-21.
Or more accurately:
Housing benefit would be increased for thousands of landlords in London under Liberal Democrat proposals.
Lib-Dems are proposing to link local housing allowance, which private landlords whose tenants are on housing benefit can receive, to average rents locally "so that the benefit maximises the value they can extract from society". LHA is currently capped and linked to the lowest rental costs in an area.
This would mean huge rises in housing benefit receipts for those who own several homes in high-rent areas such as Westminster, Chelsea, Kensington, Fulham, Islington and Richmond.
The Lib-Dems estimate the housing benefit reform would benefit the Duke of Westminster by about £3 billion a year by 2020-21.
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