HELP - Social Rent increase more than the maximum 2.7%

Ian82s

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

theartfullodger

Don''t know but....

Follow the complaints process through your landlord.  Usually described on their website or maybe tenancy agreement. In writing, keep copies. Calm & polite I humbly suggest.

What do your neighbours think about this??

Which country (eg Wales, NI..)?? Different rules and laws depending on country.

Council or housing association??

What exact date is specified for the increase please???

Jude57

Ian82s said:

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

I haven't received my new rent amount letter yet but wonder if the additional 18p is on any service charge rather than the actual rent? I admit, I don't know the detail of the increase cap but unless it specifically includes service charges I guess they could be increased above the cap limit.

Ian82s

I am in England (Norfolk), with a housing association whom I have been with for 6 years. So far their rent increase (even 1 year of decrease) has been correct to the penny until now.

It is dated for 7th April 2025 (the first Monday in April as normal).

I have sent a polite email questioning the increase my housing officer a few hours ago, (she is out of office until tomorrow), so hopefully I will get a reply as to whether the extra is a typo, or a maths error, or if it is the amount they are actually are asking for. 

So far not heard from my neighbours, but I suspect some will notice.

Ian82s

Jude57 said:

Ian82s said:

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

I haven't received my new rent amount letter yet but wonder if the additional 18p is on any service charge rather than the actual rent? I admit, I don't know the detail of the increase cap but unless it specifically includes service charges I guess they could be increased above the cap limit.

Thank you, but my service charge is £0. So this is just rent. But you are right Service Charges are not limited to 2.7% (they are encouraged to be), only rent is bound to the 2.7% maximum.

Jude57

Ian82s said:

Jude57 said:

Ian82s said:

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

I haven't received my new rent amount letter yet but wonder if the additional 18p is on any service charge rather than the actual rent? I admit, I don't know the detail of the increase cap but unless it specifically includes service charges I guess they could be increased above the cap limit.

Thank you, but my service charge is £0. So this is just rent. But you are right Service Charges are not limited to 2.7% (they are encouraged to be), only rent is bound to the 2.7% maximum.

I've just read the official document here for anyone who hasn't seen it and you're right, service charges aren't included:

https://www.gov.uk/government/publications/limit-on-annual-rent-increases-2025-26-from-april-2025

My guess is that it's a rounding issue or partially because 2026 has 53 weeks. As you know, our rents are charged weekly and the extra week every 4 years does result in some odd figures.

Hopefully, your Housing Association will have a sensible explanation and I'd be grateful if you'd come back and let us know what they say - because, selfishly, it might help me, but it would also help others.

poppy12345

Jude57 said:

Ian82s said:

Jude57 said:

Ian82s said:

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

I haven't received my new rent amount letter yet but wonder if the additional 18p is on any service charge rather than the actual rent? I admit, I don't know the detail of the increase cap but unless it specifically includes service charges I guess they could be increased above the cap limit.

Thank you, but my service charge is £0. So this is just rent. But you are right Service Charges are not limited to 2.7% (they are encouraged to be), only rent is bound to the 2.7% maximum.

I've just read the official document here for anyone who hasn't seen it and you're right, service charges aren't included:

https://www.gov.uk/government/publications/limit-on-annual-rent-increases-2025-26-from-april-2025

My guess is that it's a rounding issue or partially because 2026 has 53 weeks. As you know, our rents are charged weekly and the extra week every 4 years does result in some odd figures.

Hopefully, your Housing Association will have a sensible explanation and I'd be grateful if you'd come back and let us know what they say - because, selfishly, it might help me, but it would also help others.

I don’t think that’s correct. The 53 Mondays was tax year 2024/25. Tax years 2025/26 has 52 Mondays. 

Ian82s

poppy12345 said:

Jude57 said:

Ian82s said:

Jude57 said:

Ian82s said:

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

I haven't received my new rent amount letter yet but wonder if the additional 18p is on any service charge rather than the actual rent? I admit, I don't know the detail of the increase cap but unless it specifically includes service charges I guess they could be increased above the cap limit.

Thank you, but my service charge is £0. So this is just rent. But you are right Service Charges are not limited to 2.7% (they are encouraged to be), only rent is bound to the 2.7% maximum.

I've just read the official document here for anyone who hasn't seen it and you're right, service charges aren't included:

https://www.gov.uk/government/publications/limit-on-annual-rent-increases-2025-26-from-april-2025

My guess is that it's a rounding issue or partially because 2026 has 53 weeks. As you know, our rents are charged weekly and the extra week every 4 years does result in some odd figures.

Hopefully, your Housing Association will have a sensible explanation and I'd be grateful if you'd come back and let us know what they say - because, selfishly, it might help me, but it would also help others.

I don’t think that’s correct. The 53 Mondays was tax year 2024/25. Tax years 2025/26 has 52 Mondays. 

JUDE57 - You are actually exactly right about the53 weeks. Here is the reply I received this morning.

Thank you for your email.

This is due to this financial year having 53 Mondays rather than the usual 52 meaning that with the 4 rent free weeks then added in the annual charge was spread over 49 charged weeks.

The next financial year has 52 Mondays and therefore 48 charged weeks.

It is worked out as follows:

“Take 24/25 weekly rent and multiply by 49 to get the annual rent then divide by 53 to get the weekly rent. (Weekly rent for 24/25 is based on a 53 week year).

Multiply by 2.7% to add the increase

Multiply by 52 to get the annual rent

Divide by 48 to get the weekly charged rent for 25/26”

Therefore for you:

£111.41 x 49 = £5459.09 (24/25 annual charge). / 53 = £103.00 x 1.027 = £105.78 x 52 = £5500.70 (25/26 annual charge) / 48 = £114.60

I hope this makes sense. If you have any further queries please do not hesitate to let me know.

I have double checked this and it does work out. So looking at this Annually (not weekly) it is correct.

Jude57

poppy12345 said:

Jude57 said:

Ian82s said:

Jude57 said:

Ian82s said:

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

I haven't received my new rent amount letter yet but wonder if the additional 18p is on any service charge rather than the actual rent? I admit, I don't know the detail of the increase cap but unless it specifically includes service charges I guess they could be increased above the cap limit.

Thank you, but my service charge is £0. So this is just rent. But you are right Service Charges are not limited to 2.7% (they are encouraged to be), only rent is bound to the 2.7% maximum.

I've just read the official document here for anyone who hasn't seen it and you're right, service charges aren't included:

https://www.gov.uk/government/publications/limit-on-annual-rent-increases-2025-26-from-april-2025

My guess is that it's a rounding issue or partially because 2026 has 53 weeks. As you know, our rents are charged weekly and the extra week every 4 years does result in some odd figures.

Hopefully, your Housing Association will have a sensible explanation and I'd be grateful if you'd come back and let us know what they say - because, selfishly, it might help me, but it would also help others.

I don’t think that’s correct. The 53 Mondays was tax year 2024/25. Tax years 2025/26 has 52 Mondays. 

2025 has 52 weeks but 2026, which is part of the financial year being charged, has 53. Anyway, the OP has been back confirming how the HA arrived at their figure.

Jude57

Ian82s said:

poppy12345 said:

Jude57 said:

Ian82s said:

Jude57 said:

Ian82s said:

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

I haven't received my new rent amount letter yet but wonder if the additional 18p is on any service charge rather than the actual rent? I admit, I don't know the detail of the increase cap but unless it specifically includes service charges I guess they could be increased above the cap limit.

Thank you, but my service charge is £0. So this is just rent. But you are right Service Charges are not limited to 2.7% (they are encouraged to be), only rent is bound to the 2.7% maximum.

I've just read the official document here for anyone who hasn't seen it and you're right, service charges aren't included:

https://www.gov.uk/government/publications/limit-on-annual-rent-increases-2025-26-from-april-2025

My guess is that it's a rounding issue or partially because 2026 has 53 weeks. As you know, our rents are charged weekly and the extra week every 4 years does result in some odd figures.

Hopefully, your Housing Association will have a sensible explanation and I'd be grateful if you'd come back and let us know what they say - because, selfishly, it might help me, but it would also help others.

I don’t think that’s correct. The 53 Mondays was tax year 2024/25. Tax years 2025/26 has 52 Mondays. 

JUDE57 - You are actually exactly right about the53 weeks. Here is the reply I received this morning.

Thank you for your email.

This is due to this financial year having 53 Mondays rather than the usual 52 meaning that with the 4 rent free weeks then added in the annual charge was spread over 49 charged weeks.

The next financial year has 52 Mondays and therefore 48 charged weeks.

It is worked out as follows:

“Take 24/25 weekly rent and multiply by 49 to get the annual rent then divide by 53 to get the weekly rent. (Weekly rent for 24/25 is based on a 53 week year).

Multiply by 2.7% to add the increase

Multiply by 52 to get the annual rent

Divide by 48 to get the weekly charged rent for 25/26”

Therefore for you:

£111.41 x 49 = £5459.09 (24/25 annual charge). / 53 = £103.00 x 1.027 = £105.78 x 52 = £5500.70 (25/26 annual charge) / 48 = £114.60

I hope this makes sense. If you have any further queries please do not hesitate to let me know.

I have double checked this and it does work out. So looking at this Annually (not weekly) it is correct.

I'm glad you've had a quick response that's explained it so well. I've queried similar anomalies with my own rent when I first moved into HA property and once you get your head around the weekly calculation, it does make sense. Thank you for coming back with the update; understandably not many people do but it's helpful for others, especially as you've included the calculation formula.

poppy12345

Jude57 said:

poppy12345 said:

Jude57 said:

Ian82s said:

Jude57 said:

Ian82s said:

I just got notice of my social rent increase for from April 2025.

It is increasing from £111.41 per week to £114.60, it should be £114.42. This is a 2.86% increase. The maximum for this year is 2.7%. What can I do? I know it is 'just' 18p more a week, but that is 18p over the maximum allowed increase. Is my large social landlord allowed to ignore the maximum, even by little bits?

Anyone else having above 2.7% increases for their social rent?

I haven't received my new rent amount letter yet but wonder if the additional 18p is on any service charge rather than the actual rent? I admit, I don't know the detail of the increase cap but unless it specifically includes service charges I guess they could be increased above the cap limit.

Thank you, but my service charge is £0. So this is just rent. But you are right Service Charges are not limited to 2.7% (they are encouraged to be), only rent is bound to the 2.7% maximum.

I've just read the official document here for anyone who hasn't seen it and you're right, service charges aren't included:

https://www.gov.uk/government/publications/limit-on-annual-rent-increases-2025-26-from-april-2025

My guess is that it's a rounding issue or partially because 2026 has 53 weeks. As you know, our rents are charged weekly and the extra week every 4 years does result in some odd figures.

Hopefully, your Housing Association will have a sensible explanation and I'd be grateful if you'd come back and let us know what they say - because, selfishly, it might help me, but it would also help others.

I don’t think that’s correct. The 53 Mondays was tax year 2024/25. Tax years 2025/26 has 52 Mondays. 

2025 has 52 weeks but 2026, which is part of the financial year being charged, has 53. Anyway, the OP has been back confirming how the HA arrived at their figure.

I was going by my own HA which I’ve been paying a small amount extra each week from April 2024 due to the 53 Mondays. From April this year it will return to normal.