Business evictions ban extended until March 2021

Housing secretary Robert Jenrick has announced that business owners affected by the pandemic will continue to be protected from eviction until the end of March 2021.

This final extension will give landlords and tenants three months to come to an agreement on unpaid rent. 

The government has made it clear that any businesses that can pay any or all their rent should do so.

The move aims to support businesses worst affected by the pandemic, such as bars and restaurants, helping them to rebuild over the winter period. 

The restriction on landlords using Commercial Rent Arrears Recovery (CRAR) to get back unpaid rent has also been extended to the end of March, in line with the moratorium’s expiry date.

A review of the outdated commercial landlord and tenant legislation will be launched to address concerns that the present framework does not reflect the current economic conditions.

It will consider how to enable better collaboration between commercial landlords and tenants, as well as how to improve the leasing process.

Jenrick said: “We are witnessing a profound adjustment in commercial property. 

“It is critical that landlords and tenants across the country use the coming months to reach agreements on rent wherever possible, and enable viable businesses to continue to operate.”

Business secretary Alok Sharma added: “We have stood by businesses across the country throughout this pandemic and, as we head into the New Year, we will make sure they continue to have the support they need to keep their finances stable, protect jobs, and build back better.

“There is still some uncertainty ahead, but knowing that they won’t be evicted by their landlord will give thousands of business owners some breathing space, and the additional confidence they need to plan for their futures.”

Additional guidance, which will be published early next year, will sit alongside the government’s Code of Practice to encourage all parties to collaborate on protecting viable businesses.

Leave a comment