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UK Government provides further halt to business evictions and more support for high street firms

Published on in Coronavirus

A new code provides support to shops and local firms planning their future recovery with their landlord.

  • The UK government has extended measures to prevent struggling companies from eviction over the summer.
  • A new code of practice has been developed with leaders from the retail, hospitality and property sectors to provide clarity for businesses when discussing rental payments and to encourage best practice so that all parties are supported.
  • The Coronavirus Act will extend the time period for suspension of the forfeiture of evictions from June 30 to September 30, meaning no business will be forced out of their premises if they a miss a payment in the next three months.
  • Secondary legislation to prevent landlords using Commercial Rent Arrears Recovery unless they are owed 189 days of unpaid rent. The time period for which this measure is in force will be extended from June 30 to September 30.

An amendment to the Corporate Insolvency and Governance Bill has been tabled which will extend the temporary ban on the use of statutory demands and winding-up petitions where a company cannot pay its bills due to coronavirus until 30 September. Find out more here.

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