AEB85, I'm sorry, I don't know about any rules/regulations regarding housing allowance..in my company it is that way, they either give you accommodation or you can find yourself something and they pay the rent. They have a certain amount which is mentioned in the contract. If you have a rent that is above this amount, you pay the difference out of your your own pocket, if the rent is less than the allowance, they only pay the actual rent. That's the company policy...but sorry, no idea about general rules or laws.