New measures to protect high streets from aggressive rent collection

High street shops and other companies struggling during the COVID-19 crisis will be protected from aggressive rent collection, the government has announced.

This follows reports of some landlords putting tenants under undue pressure by using aggressive debt recovery tactics.

To stop these unfair practices, the government will temporarily ban the use of statutory demands and winding up orders where a company cannot pay their bills due to coronavirus, to ensure they do not fall into deeper financial strain. The measures will be included in the Corporate Insolvency and Governance Bill, which the Business Secretary Alok Sharma set out earlier this month.

Government is also laying secondary legislation to provide tenants with more breathing space to pay rent by preventing landlords using Commercial Rent Arrears Recovery (CRAR) unless they are owed 90 days of unpaid rent.

However, while landlords are urged to give their tenants the breathing space needed, the government calls on tenants to pay rent where they can afford it or what they can in recognition of the strains felt by commercial landlords too.

Event Diary

DISCOVER | DEVELOP | DISRUPT

UKREiiF has quickly become a must-attend in the industry calendar for Government departments and local authorities.

Registration is now open for the award-winning Road Transport Expo 2024 (RTX) – the tradeshow with a dedicated “all about the truck” focus.