Proposed changes to the way we charge your rent
A consultation letter is on its way to all tenants renting a property or a garage that has a weekly rent charge. We are consulting you about changing the way in which we charge your rent; the letter being sent advises you how you can feedback your opinions/views.
For a number of years we have had a 48-week cycle for charging and collecting rent, rather than 52 weeks. This leaves four weeks per year where, if your rent account has been in credit, you do not need to make a payment.
Many other councils and housing associations already collect rent over 52 weeks – this is a tried and tested model that is working well for other organisations.
To calculate your rent, we currently take your weekly rent and multiply it by 52 or 53 weeks, depending upon how many Mondays are in the rent year, to arrive at your annual rent. We then divide this sum by 48 or 49 weeks, giving you four weeks where no payment is due.
Therefore this is not really a rent free period, you pay your weekly rent currently at a higher rate due to the fact that you are given less time to pay for the annual rent due.
This does not change your yearly chargeable rent which will be calculated as usual in accordance with Government guidelines at the start of each financial year – so you will pay exactly the same amount across the year and there will be no change in the total amount of rent you pay.
Under the new proposal we would remove the four ‘no rent’ weeks (also known as non-payable rent weeks) and simply charge your weekly rent every Monday of the year. This will mean that you will no longer have any weeks where no payment is due but you will pay a smaller amount each week.
If you have not received your letter please contact Business Support on 01884 234280.