Local Housing Allowance (LHA)
Hackney Council is exploring a housing company to mitigate Local Housing Allowance subsidy losses as part of its £145 million homelessness programme.
Hackney Council is currently exploring establishing a housing company to subsidise rents and mitigate housing benefit subsidy losses, with projected savings of £11.6 million for the Housing Revenue Account over three years. This initiative forms part of its Homelessness and Temporary Accommodation Supply Transformation Programme, which has a £145 million investment allocated for the 2026/27 financial year, as discussed by the Housing and Homelessness Scrutiny Commission in September 2026.
Councils are also addressing the financial impact of temporary accommodation. Waltham Forest Council's Cabinet approved a revised capital budget for temporary accommodation conversions in September 2026. Looking ahead, Waltham Forest's Shareholder Committee is scheduled to discuss this topic in October 2026. Tower Hamlets Council was scheduled to discuss maximising Housing Benefit Subsidy income for council-owned properties used as temporary accommodation in October 2025.
Local Housing Allowance (LHA) is a government benefit designed to help private renters with housing costs. Councils face financial challenges due to rising homelessness costs, with Harrow Council reporting a £5.9 million overspend in July 2025, primarily attributed to increasing demand for temporary accommodation.
Key facts
- Hackney Council is exploring a housing company to mitigate housing benefit subsidy losses, projecting £11.6 million HRA savings. Source
- Hackney Council allocated £145 million for its Homelessness and Temporary Accommodation Supply Transformation Programme for 2026/27. Source 1 Source 2
- Harrow Council faced a £5.9 million housing overspend due to rising homelessness costs in July 2025. Source
About this summary
This summary was written automatically from our published stories and the council meeting records they draw on, with background from Wikipedia. It describes what councils have discussed and decided; it does not take a view on any decision. Each key fact links to the story it comes from. Updated 30 September 2026. Spotted a mistake? Email community@opencouncil.network.