The Government is set to extend the commercial eviction ban, according to a report in The Times.
The moratorium on landlords evicting tenants over unpaid rent has been in place since last year, aiming to protect business owners affected by the coronavirus pandemic.
However, the eviction ban is currently scheduled to come to an end in March 2021, with the Government stating that the extension announced in December 2020 would be a ‘final extension’.
That decision was taken before further lockdown measures were introduced in the New Year, with England being under strict lockdown measures ever since.
The Government has always stated that where businesses can, they should pay part or all of their rent, but with many businesses closed due to coronavirus restrictions, cash flow issues mean that many will not be able to fulfil their rental obligations, leaving them in arrears with landlords once again.
The Ministry of Housing, Communities and Local Government (MHCLG) has been discussing the plans with the hospitality, retail and property sectors as it looks to find a solution to the issue, with rent arrears in the UK now totalling more than £4.5 billion.
It is also expected that any extension will also see an extension of restrictions on landlords using Commercial Rent Arrears Recovery to uncover unpaid rent.
Jane Gratton, Head of People Policy at the British Chambers of Commerce (BCC), said: “
“Any decision taken by the government that gives landlords and tenants a chance to plan for the successful restart of their operations will be welcomed by Chamber members.
“The BCC engages regularly with the Government to ensure all businesses receive the financial support commensurate with the restrictions placed upon them.”
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