2024/25 financial year is a 53-week year
The next financial year which starts on 1 April 2024 and ends on 31 March 2025, has 53 Mondays and so is a 53-week year.
Most years only have 52 rent weeks, but this coming financial year is one of those unusual quirks of our calendar which happens once every 5 or 6 years.
This is important as this means there will be one extra week of rent payment in 2024/25 and it is not supported by Universal Credit.
Please make a note of what this might mean for you and your rent payments…
How will this affect me?
If you clear your rent account every week or month (reducing your balance to zero) this additional week will be captured in those payments and you don’t need to do anything else.
If you pay your rent every month (by calculating your weekly rent, multiplying by 52 and dividing by 12) then you will be a week short. You will need to multiply your weekly rent amount by 53 and then divide it by 12. See below on the different types of paying rent.
I am on Universal Credit does this affect me?
The Department for Work and Pensions (DWP) calculates your housing cost payment based on a 52-week year. Sadly, this remains the same even in a 53-week year. Unfortunately, the DWP has confirmed that it won't provide additional Universal Credit to cover this extra week.
Therefore, to avoid falling into arrears, you must budget for this additional week payment. If your housing costs are paid directly to Plus Dane from your Universal Credit, you will still need to pay an additional week’s rent yourself as the DWP will not cover the 53rd week.
I pay by monthly Standing Order, does it affect me?
If you pay by standing order, you need to make an adjustment to your monthly payments yourself from April 2024. To calculate how much rent you should be paying each month, multiply your weekly rent amount by 53 and then divide it by 12.
For example, if your rent is £100 per week you would use the following calculation: £100 x 53 ÷ 12 = £441.66
If you have arrears, you need to add your agreed amount to the weekly rent before multiplying.
Once you’ve calculated your new monthly payments, please update your standing order with your bank.
I pay by monthly Direct Debit, does it affect me?
You don’t need to do anything. We have calculated your payments and adjusted your direct debit using the calculation example shown above. You will have received a direct debit schedule showing the new monthly payment. The amount may look slightly higher than you were expecting because of the impact of the 53 week year. You will still need to make sure you have sufficient funds to cover the payment listed in your direct debit schedule each month.
What if I pay by a monthly card payment?
If you pay by card each month, you will need to make an adjustment to your monthly payments from April 2024 . Calculate your new monthly rent payment as above (your weekly rent x 53 ÷ 12).
What if I pay weekly?
There’s no change. You will continue to pay your new weekly rent from 1 April in advance every Monday.
I claim Housing Benefit, does it affect me?
If you receive Housing Benefit, you don’t need to do anything. This will be covered.
If you do not understand how this will impact you, if you think this will put you in financial difficulty and are unsure what to do, please get in touch with us in one of the following ways:
Click on the image above to go to our contact page.
Our friendly income team will do their best to help.
