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3 min read
Phil Spencer MBE Founder Move iQ

The London Living Rent Scheme

Saving for a house deposit is not an easy task, especially if you’re renting in London! But there is a ray of hope – back in 2016, the Mayor of London introduced the London Living Rent Scheme as part of London’s Affordable Homes Programme. This scheme was designed to make housing more accessible. It also helps renters save for a future house deposit. So, we want to investigate how the scheme works, who’s eligible and how to get started.

What is the London Living Rent Scheme?

The London Living Rent Scheme (LLR) helps middle-income Londoners save for a house deposit by offering lower-than-market rent levels. These rents are typically set at one-third of the average local household income. As a result, they are more affordable than typical private rents in the capital.

The idea behind the scheme is to support renters saving for a deposit to eventually buy their own home via Shared Ownership.

The Renters’ Rights Act does not change how the London Living Rent Scheme itself works, but it may affect the tenancy terms for some homes depending on who the landlord is and how the property is let.

While it is available to many, to be eligible, you’ll need to meet the scheme’s eligibility criteria. Also, availability across the different London boroughs can vary. To see if the scheme is offered in your local area, you should check with local housing associations or the Greater London Authority.

Eligibility criteria

To qualify for the London Living Rent Scheme, you’ll have to meet the following criteria:

  • Have a maximum household income below a certain threshold, typically around £75,000 per year.
  • Be a current private renter and be able to prove you’re unable to buy a home (even through Shared Ownership) in your local area.
  • You may need to demonstrate a connection to the London borough where you are applying.
  • Prove that the size of the home is appropriate for the size of your household.

Applying for the scheme

Applying for the scheme is simple, but you first must check if you meet the eligibility criteria set out above. After this, you can start your search on the Greater London Authority’s (GLA) website. Here, properties are being listed that are part of the scheme.

After finding a rental property that is part of the scheme, you can complete an application form. Typically, this is provided by the housing association or by the letting agent who is managing the property.

Your application will then be assessed to verify if you’re indeed eligible. If all checks out, then you generally will be offered a tenancy at a reduced rent.

London Living Rent Scheme FAQs

Q: Can I buy the property I rent through the scheme?
A: Yes, and this is one of the scheme’s primary goals, to help tenants save for a house deposit so that they can buy their own home.

Q: How long can I stay in a London Living Rent home?
A: London Living Rent homes are generally intended to offer stability, and GLA-backed homes are not usually expected to require tenants to move for at least three years from the start of the tenancy. If the home is let in the private rented sector, the Renters’ Rights Act means private tenancies in England now run on a periodic basis rather than fixed terms. Therefore, it’s worth checking the exact tenancy terms with the landlord, housing provider or letting agent.

Q: What happens if my income increases while I’m in the scheme?
A: If your income increases, you may still be able to stay in your home. However, it’s important to check specific terms with your landlord or letting agent.

Q: Does the London Living Rent Scheme include service charges?
A: The London Living Rent (LLR) Scheme typically includes service charges in the rent. This means that the monthly rent you pay under the scheme should cover both the rent and the service charges. However, make sure to check your tenancy agreement for the specifics. Also, consult with the housing provider to confirm what exactly is included.

Q: Does the scheme include bills?
A: No, the London Living Rent Scheme generally does not include utility bills such as electricity, gas, water, and internet.

Q: Does the London Living Rent Scheme extend to new builds built for renters?
A: Yes, the London Living Rent Scheme can be applied to homes that are built to rent (BTR). Given that the property meets the scheme’s criteria.

Final words on the scheme

Now that you understand where to begin and how the scheme works, you’re ready to take the next step toward your property goals.

If you’d like to keep up to date about anything property and rent-related, then make sure to sign up for the newsletter. It’s packed with valuable insights to help you turn your homeownership dreams into reality!

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Last Updated: May 21st, 2026