diff --git a/src/common/string.cpp b/src/common/string.cpp
index 2d608d1eb8..bd9857e5cc 100644
--- a/src/common/string.cpp
+++ b/src/common/string.cpp
@@ -1551,8 +1551,8 @@ size_t wxString::Replace(const wxChar *szOld,
             //replace this occurance of the old string with the new one
             replace(dwPos, uiOldLen, szNew, uiNewLen);
 
-            //move up pos past the old string
-            dwPos += uiOldLen;
+            //move up pos past the string that was replaced
+            dwPos += uiNewLen;
 
             //increase replace count
             ++uiCount;
diff --git a/tests/strings/strings.cpp b/tests/strings/strings.cpp
index 3ff5fde7ec..652dc86eb7 100644
--- a/tests/strings/strings.cpp
+++ b/tests/strings/strings.cpp
@@ -476,8 +476,8 @@ void StringTestCase::Replace()
             CPPUNIT_ASSERT( s == wxString(r,rlen) ); \
         }
     
-    TEST_WXREPLACE( _T("null\0char"), 9, _T("c"), _T("d"), true,
-                          _T("null\0dhar"), 9 );   
+    TEST_WXREPLACE( _T("null\0char"), 9, _T("c"), _T("de"), true,
+                          _T("null\0dehar"), 10 );   
 
     #undef TEST_WXREPLACE
     #undef TEST_NULLCHARREPLACE