The Shared Accommodation Rate for Under-35s

If you rent privately, you are single, you are under 35 and you have no children, the help you get with rent is usually capped at the shared accommodation rate. That is the Local Housing Allowance rate for a single room in a shared home, and it is lower than the rate for a self-contained one bedroom place¹.

The rule catches far more people than the name suggests. Most single private renters under 35 only get the shared accommodation rate of Local Housing Allowance, even if they do not share their home with anyone else³. You can rent a flat on your own and still be paid the shared rate, which means covering the difference between that rate and your rent from your own income.

It applies to both Housing Benefit and Universal Credit, and the same list of exemptions runs through both⁴. The rate is meant to cover the cost of renting a room in a shared house, but it is often not enough¹. This page sets out who the rule applies to, the situations that take you off it, and what changes at 35.

What the shared accommodation rate is

The shared accommodation rate is one of the Local Housing Allowance rates used to work out help with rent. The others are the one bedroom, two bedroom, three bedroom and four bedroom rates². Local Housing Allowance itself can range from a single room in a shared house up to a property with four bedrooms, depending on the size of household the rules say you need⁶.

The shared accommodation rate is lower than the other Local Housing Allowance rates¹. It is meant to reflect what it costs to rent a room in a shared house, but in practice it is often not enough to cover the rent actually charged¹. Where there is a gap, the tenant pays it, or asks the council for a Discretionary Housing Payment.

The rate is a cap on the help you can get, not a rule about the property you must live in. If you live in shared accommodation, the shared accommodation rate applies even if the bedroom allowance rules would otherwise give you the one bedroom rate². The reverse also holds: a self-contained flat does not lift you off the shared rate if you are single and under 35.

Who it applies to: single renters under 35

The shared accommodation rate is paid to single private rented sector claimants under the age of 35⁷. It does not apply to under-35s living in supported housing in the private rented sector⁷. If you are under 35, single and childless, you are generally only entitled to the standard rate for a single bedroom in shared accommodation⁸.

Single private tenants aged under 35 are limited to the shared accommodation rate in both Housing Benefit and Universal Credit, even if they do not share accommodation, though there are exceptions⁴. If you claim Housing Benefit and share facilities with other joint tenants, you get the shared accommodation rate⁴. The same applies to a couple claiming Housing Benefit who share facilities with other joint tenants⁴.

The rule is about your household, not your address. If you are under 35 and do not live with your partner or dependants such as children, you may only get enough help for a single room with a shared living room, kitchen and bathroom⁹.

The shared accommodation rate caps Local Housing Allowance at the rate for one room in a shared home

If you are younger than 35, single and have no children, you are restricted to the shared accommodation rate of Local Housing Allowance, even if you live in a self-contained property². Most single private renters under 35 only get the shared accommodation rate, even if they do not share their home with others³.

The practical effect is a shortfall. The rate is set for each area and is lower than the one bedroom rate, so a tenant renting a self-contained flat on the shared rate usually pays the difference themselves. The rate should cover the cost of renting a room in a shared house, but it is often not enough¹.

There is a separate rule for people who would otherwise qualify for the one bedroom rate. If you can get the one bedroom self-contained rate, it is used to work out your benefits even if you live in shared housing, but you cannot get more than your actual rent¹. With Housing Benefit, you can get the one bedroom self-contained rate unless someone else gets benefits because they are your full time carer, in which case you get the shared accommodation rate¹.

How being single and without children affects the rate you get

Being single with no children is what brings you into the shared accommodation rate in the first place. A single person living alone and under the age of 35 is only entitled to the shared accommodation rate¹⁰. Single people under 35 without children usually have a Local Housing Allowance of one bedroom in shared accommodation⁶.

The rule does not apply if you have children. The single-room rate that limits the help most young people can get does not apply if you have children, though if you move into a council or housing association place the bedroom tax might apply instead¹¹. A pregnant claimant usually stays on the shared accommodation rate until the baby is born unless she already has children¹.

Living with a partner also takes you off the shared rate. You could get the one bedroom self-contained Local Housing Allowance rate if you live with your partner, among other situations¹.

If you have a shared ownership property, you will not be affected by the Local Housing Allowance rules¹².

Exemptions: when the one bedroom rate applies instead

A list of situations takes single people under 35 off the shared accommodation rate and onto the one bedroom rate. You will get the one bedroom rate instead of the shared accommodation rate if you need overnight care, have experienced domestic abuse, are a care leaver under the age of 25, were previously in custody and are managed by a multi-agency agreement because you are a risk to the public, get a disability benefit, have lived for at least three months in a homeless hostel where you received support, or are a survivor of modern slavery¹³.

The same exemptions appear in the guidance for Universal Credit. You are entitled to the one bedroom rate if you are under 25 and a care leaver, have been living in a hostel for people who are homeless for three months or more, or are a victim of domestic violence or of modern slavery⁵.

Disability benefits are a common route. The limit does not apply in some situations, for example if you get a disability benefit¹⁴. People who get Adult Disability Payment get an exception from the Local Housing Allowance shared room rate for under 35s¹⁵. The shared accommodation rate does not apply up to age 35 if you are severely disabled¹⁶.

Some people subject to multi-agency public protection arrangements are exempted from the shared accommodation rate¹³. Receiving Attendance Allowance is also listed as an exemption¹³.

What happens to my housing support when I turn 35?

The under-35 restriction is an age rule, so it stops applying when you reach 35. From that point your help with rent is worked out using the Local Housing Allowance rate for the size of home your household needs, which for a single person is normally the one bedroom rate².

Nothing else about your claim changes at 35. The benefit cap, the bedroom rules for social housing and the rest of the housing element calculation carry on as before. If you are on Universal Credit, the housing costs element is still worked out the same way, just without the shared accommodation rate cap¹⁷.

If you are approaching 35 and renting a self-contained home on the shared rate, the change may reduce or remove your shortfall. If you are in shared housing and getting the shared rate, turning 35 does not force you to move.

Where the shared accommodation rate does not apply

Some accommodation sits outside the Universal Credit housing element altogether. Help with housing costs is not available through Universal Credit if you live in supported or sheltered housing that gives care, support or supervision, a refuge for survivors of domestic abuse, or temporary accommodation arranged because you are homeless⁷. In those cases you may need to claim Housing Benefit for rent while still getting Universal Credit for other costs¹⁸.

If you are claiming Universal Credit and living in supported exempt accommodation, any help with housing costs will be covered by Housing Benefit, not Universal Credit¹⁹.

In Northern Ireland the housing help is delivered differently. You cannot claim Housing Benefit and Rate Relief if you are receiving Universal Credit or are entitled to apply for it, and you need to apply for Rate Rebate instead²⁰. You also cannot apply for Rate Rebate if you live in supported accommodation, already receive Housing Benefit and Rate Relief, or are entitled to Pension Credit unless your partner already receives Universal Credit²¹. You cannot claim Housing Benefit for rates if you receive Universal Credit²².

Other help that changes the picture

Council Tax is worked out separately from rent, and single occupiers often get a discount. The discount is 100 per cent if the person is living alone, and 25 per cent if they live with one other adult²³. You may qualify for 25 per cent off your Council Tax if you are the only adult in your home or live with adults who are exempt²⁴. If your partner is going to be absent for more than 13 weeks and you are the only adult living in the property, you could get the single person discount²⁵.

If you fall behind on rent, the shortfall between the shared accommodation rate and your actual rent is a common cause. Rent arrears on a standard occupation contract can lead to possession action, so it is worth talking to the council about a Discretionary Housing Payment early²⁶.

Taking in a lodger to cover a shortfall works differently on Universal Credit. The rule that lets Housing Benefit claimants take in a lodger does not apply to Universal Credit, where a lodger's room is still treated as spare but the income you get from the lodger is ignored²⁷.

Where to get help

Free, impartial advice on the shared accommodation rate and on challenging a decision is available from Shelter England, Shelter Scotland, Shelter Cymru, Housing Rights in Northern Ireland, Turn2us, Entitledto and Macmillan for people affected by cancer¹. Your local council administers Discretionary Housing Payments and can tell you what evidence it needs.

If you think the wrong rate has been used, ask the office handling your claim to look at it again. For Universal Credit that means a mandatory reconsideration, and for Housing Benefit it means asking the council to revise its decision. Advice services can help you put the request in writing.