Yesterday, it was confirmed that the ban on commercial evictions is set to be extended. Landlord & Tenant lawyer Will Bartley looks at the extension, outlining the key dates and discussing the impact for commercial landlords and tenants.
What is the commercial eviction ban?
The commercial eviction ban, or 'debt moratorium', essentially prevents landlords from taking their tenants to court over unpaid rent when those businesses have been prevented from trading.
When has the ban on commercial evictions been extended to?
Treasury Secretary Stephen Barclay confirmed that the commercial eviction ban has been extended by nine months, now ending on 25th March 2022. The ban was originally due to end on 30 June, but this extension means that the eviction ban will have run for 2 years since its implementation.
Mr Barclay said: "Existing measures will remain in place, including extending the current moratorium to protect commercial tenants from eviction to March 25, 2022."
The restrictions on landlords recovering rent arrears by selling tenant's goods has also been extended.
How does the commercial eviction ban extension affect landlords?
Melanie Leech is the chief executive of the British Property Federation. In reaction to the commercial eviction ban extension, she was critical of the extension, saying: "The government has failed to recognise that commercial property owners are essential to the health of our town centres – to creating economic growth, jobs and opportunity."
Melanie went on to add that the extension "will provide further opportunity for well-capitalised businesses who can afford to pay rent, but are refusing to do so, to continue their abuse of government and property owners' support."
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