Ban on commercial evictions extended until the end of 2020

The Government has announced that it has extended the ban on commercial evictions until the end of 2020, meaning businesses cannot be evicted by landlords for getting behind on rent payments.

It is hoped the extension will help protect jobs once the furlough scheme ends next month, encouraging businesses to stay afloat during the busy Christmas period.

Whilst the halt will come as a relief to many struggling business owners, some believe the that the halt on evictions could lead to big rifts between retailers and landlords, as the high street continues to struggle due to lower footfall.

Ministers also announced an extension on the restriction on landlords using commercial rents arrears recovery to enforce unpaid rent on commercial leases until the end of 2020.

Business Secretary, Alok Sharma said: “During this particularly challenging time for businesses, it is crucial that both landlords and tenants have the clarity and reassurance they need to build back better from the pandemic.

“Extending the temporary measures we put in place earlier this year to protect businesses from the threat of eviction will give them some much-needed breathing space at a critical moment in the UK’s economic recovery.”

Mike Cherry, National Chair at the Federation of Small Businesses (FSB) supported the intervention claiming that it was crucial towards safeguarding thousands of firms and millions of jobs.

He said: “With the furlough scheme ending in a matter of weeks, more must be done to ensure that small firms including renters, who are the backbone of the economy, have the necessary support they need to survive.”