Moratorium On Forfeiture Of Commercial Leases Extended
Section 82 of the Coronavirus Act 2020 prohibits landlords from forfeiting commercial leases for non-payment of rent during the ‘relevant period’. The relevant period was due to expire on 30 June 2021.
However, the Treasury Secretary Stephen Barclay has announced yesterday that the moratorium on forfeiture for non-payment of rent will be extended for a further 9 months, to 25 March 2022. This extension is intended to offer some support to businesses who have been presented with “additional challenges” as a result of the Government’s recent announcement that the full easing of restrictions in England will be delayed by a further 4 weeks.
This is bad news for landlords whose options for recovering unpaid rent has been severely restricted since the start of the pandemic.
For further advice on commercial property issues please contact our Real Estate Team.