Private rents are rising — here is what it means if you claim Universal Credit

Private rents in England rose by 3.8% in the 12 months to July 2026, according to the Office for National Statistics. The average private rent in England is now £1,451 a month.

If you rent privately and claim Universal Credit (UC) or Housing Benefit, this matters. Your housing support is capped by Local Housing Allowance (LHA) rates — and those rates are frozen at April 2024 levels until at least April 2027. As rents keep rising, the gap between what UC covers and what your landlord charges may be growing.

Why your housing element may fall short

When you claim UC, your housing costs element can only pay up to your LHA rate for your area and property size. If your rent is higher than that, you pay the difference yourself every month.

Because LHA was last updated in April 2024 and will not rise before April 2027, any rent increase since then adds to that gap.

Check whether you are affected

You can look up your LHA rate at lha-direct.voa.gov.uk. Enter your postcode and choose the right property category — for example, one bedroom or two bedrooms. Compare the figure to your actual rent. If your rent is higher, you have a shortfall.

If you are not sure what property category applies to you, Citizens Advice can help you work it out for free.

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What you can do

Apply for a Housing Payment. From April 2026, Discretionary Housing Payments (DHPs) were replaced by Housing Payments, which sit within the Crisis and Resilience Fund. You apply to your local council. Housing Payments can cover part or all of a rent shortfall on a temporary basis. Councils have limited budgets, so apply as early as you can — do not wait until you are in arrears.

Talk to your landlord. Under the Renters' Rights Act 2025, your landlord can only raise your rent once a year and must give you proper notice before doing so. If the increase has pushed your rent above your LHA rate, it is worth a conversation. Some landlords will agree to hold the rent at its current level to keep a good tenant.

Get free advice. Citizens Advice and Shelter both offer free help with rent shortfalls, including guidance on challenging a rent increase through the First-tier Tribunal and what to do if you are worried about arrears building up.

Your tenancy is protected

A shortfall between your LHA rate and your rent does not give your landlord grounds to evict you. Under the Renters' Rights Act, your landlord needs a legal reason to seek possession, and a rent shortfall on its own is not one. If you are actively taking steps to address the gap — such as applying for a Housing Payment — this shows you are dealing with the situation in good faith.

If you receive any written notice from your landlord, contact Citizens Advice or Shelter straight away. Free help is available, including from the Housing Loss Prevention Advice Service, before and during any legal process.