Originally written by Timothy Adler on Small Business
The Government has blocked commercial landlords from evicting small businesses from shops and other premises for another three months until end-September.
The U-turn will come as a huge relief for small businesses struggling to pay rent as businesses reopen post lockdown to uncertain, if non-existent, demand.
Up until yesterday, the draft voluntary code of practice being circulated made no mention of extending the original three-month moratorium on landlords repossessing premises and evicting tenants for non-payment of rent due to Covid-19.
>See also: How to ask for a commercial rent freeze from your landlord
The Government will amend the Coronavirus Act to extend the moratorium on 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 will prevent landlords using Commercial Rent Arrears Recovery unless they are owed 189 days of unpaid rent
The Corporate Insolvency and Governance Bill will be amended, extending the temporary ban on the use of statutory demands and winding-up petitions where a company cannot pay its bills due to coronavirus until September 30
However, the draft code of practice encourages tenants to continue to pay their