Coronavirus Update – Commercial Rent Arrears During Covid – 06/08/2021
| The Government has issued a policy statement which addresses commercial rent arrears that have arisen whilst businesses had to close due to Covid restrictions. -Commercial Landlords have been prevented from evicting tenants due to non – payment of rent and this protection for tenants has been extended to 25th March 2022. -This will only apply to ringfenced rent arrears, being rent debt due from March 2020 for business closure due to Covid restrictions until the restrictions for their sector were removed. -The Government wishes landlords and tenants to negotiate direct in respect of ringfenced arrears. -The Government is to put in place a system of binding arbitration, to be used as a last resort where a negotiated settlement cannot be reached. -In advance of the arbitration system, the Government will publish principles, to be put into legislation, which can be used as the basis of negotiation between landlord and tenant. For the full text of the Government policy statement Click here |
