diff --git a/pkg/controller/backupbucket/actuator.go b/pkg/controller/backupbucket/actuator.go
index 9d27f6894..02459e33f 100644
--- a/pkg/controller/backupbucket/actuator.go
+++ b/pkg/controller/backupbucket/actuator.go
@@ -57,8 +57,8 @@ func (a *actuator) Reconcile(ctx context.Context, _ logr.Logger, backupBucket *e
 		return err
 	}
 
-	// If the generated secret in the backupbucket status not exists that means
-	// no backupbucket exists and it need to be created.
+	// If the generated secret in the backupbucket status does not exist that means
+	// no backupbucket exists and it needs to be created.
 	if backupBucket.Status.GeneratedSecretRef == nil {
 		storageAccountName, storageAccountKey, err := ensureBackupBucket(ctx, factory, backupBucket)
 		if err != nil {
diff --git a/pkg/controller/backupbucket/backupbucket.go b/pkg/controller/backupbucket/backupbucket.go
index f2a9a2a00..fbc0ee5b6 100644
--- a/pkg/controller/backupbucket/backupbucket.go
+++ b/pkg/controller/backupbucket/backupbucket.go
@@ -18,7 +18,7 @@ import (
 
 func ensureBackupBucket(ctx context.Context, factory azureclient.Factory, backupBucket *extensionsv1alpha1.BackupBucket) (string, string, error) {
 	var (
-		backupBucketNameSha = utils.ComputeSHA1Hex([]byte(backupBucket.Name))
+		backupBucketNameSha = utils.ComputeSHA256Hex([]byte(backupBucket.Name))
 		storageAccountName  = fmt.Sprintf("bkp%s", backupBucketNameSha[:15])
 	)