Theresa May has said the LHA cap will not apply to supported housing or the social housing sector.
The PM made the announcement at PMQs, saying the full response would be outlined next week on 31st October.
May said: “This is something we have been looking at for the past year. It will look at a wide range of issues. It needs to make sure the funding model is right to ensure providers of supported housing are able to access funding effectively.
“We will not apply the Local Housing Allowance cap to supported housing.
“Indeed we will not be implementing it in the wider social rented sector, and the full details will be made available when we publish our response to the consultation.”