The short answer
- Most letting agents use the annual method: monthly rent × 12 ÷ 365 for a daily rate.
- Some divide the monthly rent by the number of days in that month.
- Multiply the daily rate by the days you have the property, counting the first and last day.
- Your tenancy agreement may say which method applies.
The two main methods
- Daily rate
- Monthly rent × 12 ÷ 365
- £1,200 a month
- £39.45 a day, all year
- Fair because
- Every day costs the same
- Daily rate
- Monthly rent ÷ days in the month
- £1,200 a month
- £38.71 in October, £42.86 in February
- Fair because
- Each month's rent is split exactly
A third way divides the weekly equivalent rent by 7, which gives almost the same answer as the annual method. In a leap year, the annual method divides by 366.
Worked examples
- Days: 20 to 31 October, inclusive12
- Annual daily rate: £1,200 × 12 ÷ 365£39.45
- 12 × £39.45£473.42
| Period | Days | Annual method | Calendar month |
|---|---|---|---|
| 20 to 31 Oct 2026 | 12 | £473.42 | £464.52 |
| 1 to 10 Nov 2026 | 10 | £394.52 | £400.00 |
| 15 to 28 Feb 2027 | 14 | £552.33 | £600.00 |
| 10 to 29 Feb 2028 | 20 | £786.89 | £827.59 |
February and leap years
The calendar month method gives a much higher daily rate in February, because the full month’s rent is split over only 28 or 29 days. For half of February 2027, it gives £600, compared with £552.33 using the annual method. If you are moving in during February, check which method your landlord uses.
Weekly and monthly rent
A month is not four weeks. To convert weekly rent to monthly, multiply by 52 and divide by 12. A weekly rent of £300 is £1,300 a month, not £1,200. To convert monthly rent to weekly, multiply by 12 and divide by 52: £1,200 a month is £276.92 a week.
The four-week trap
Multiplying weekly rent by 4 understates the monthly cost by about 8%, because most months are longer than four weeks.
Moving in part-way through a month
Many agents ask for a part month’s rent to bring the rent day into line with the first of the month, then a full month’s rent on the 1st. Others simply make the rent day the date you move in, so no pro-rata payment is needed. Ask which applies before you sign, so you can budget for the first two payments.
Moving out
You owe rent until the tenancy legally ends, not the day you hand back the keys. If your notice ends part-way through a rent period, the landlord should only charge rent up to the end date, worked out pro rata. If you have paid a full month in advance, you should get back the rent for the days after the tenancy ends.
Deposits and holding deposits
| Deposit | Cap | On £1,200 a month |
|---|---|---|
| Tenancy deposit, annual rent under £50,000 | 5 weeks' rent | £1,384.62 |
| Holding deposit | 1 week's rent | £276.92 |
Your tenancy deposit must be protected in a government-approved scheme within 30 days. A holding deposit must be returned or put towards the first rent or deposit within the agreed deadline, usually 15 days.
Changing your rent day
If your pay day changes, you can ask your landlord to move your rent day. If they agree, you pay a pro-rata amount for the days between the old and new dates. Get the change in writing to avoid confusion about arrears.
Splitting bills and council tax
Council tax is charged daily, so a part month is worked out in the same way. Energy and water bills depend on meter readings, so take readings on the day you move in and out, and send them to the suppliers. If you share a property, the percentage calculator can split bills fairly.
If you disagree
Check your tenancy agreement first. If it is silent, either method is reasonable, but the landlord cannot charge more than the rent due for the period. Most disagreements are a few pounds and can be settled by showing both calculations. For larger disputes, contact Shelter or Citizens Advice.
Rent in advance and the Renters' Rights Act
The Renters’ Rights Act changes private renting in England. Tenancies become periodic, with rent periods of no more than a month, and landlords can no longer demand large amounts of rent in advance before a tenancy begins. Pro-rata calculations still matter when a tenancy starts or ends part-way through a rent period, and the same daily-rate methods apply.
Universal Credit and Housing Benefit
Universal Credit pays housing costs monthly, based on your assessment period, not your rent day. If you move in part-way through an assessment period, the housing element is usually worked out for the whole period at the new rent, as long as you are liable for rent on the last day. Housing Benefit, used mainly by pensioners, is worked out weekly, so part weeks are calculated day by day.
Lodgers and rooms
Lodgers often pay weekly or every four weeks. For a part week, divide the weekly rent by 7 and multiply by the days. If you pay every four weeks, remember there are 13 four-week periods in a year, not 12, so the yearly total is higher than 12 monthly payments of the same amount.
- Daily rate: £150 ÷ 7£21.43
- Thursday to Sunday: 4 days£85.71
Students and fixed academic years
Student lets often run for 44 or 51 weeks. Rent may be quoted weekly but paid in termly instalments. To compare offers, work out the total for the whole tenancy and the weekly equivalent, and check whether the summer months are included.
A quick checklist
- Find the exact start or end date of the tenancy.
- Check the tenancy agreement for a pro-rata method.
- Count the days, including the first and last.
- Work out the daily rate and multiply.
- Keep a record of the calculation with your payment.