New legislation to further protect tenants unable to pay rent

The Government has confirmed that they will be introducing legislation to be included in the Corporate Insolvency and Governance Bill to provide further protection for tenants unable to pay their rent.  The Government’s approach is designed to combat “aggressive rent collection”.

The Government has confirmed that Statutory Demands and Winding-up Petitions being issued to commercial tenants will be temporarily voided.  The full details of the legislation is still to be seen.

In addition to this, the Government is also proposing changes to CRAR to provide further protection for commercial tenants as a temporary measure during the Covid-19 situation.

For further information, please contact Nicola Stewart, Senior Associate in our Dispute Prevention & Resolution team.

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