Business evictions ban extended by three months, in government move to support tenants

Jenrick said: “It is right that as we move through the roadmap, we ensure that businesses and renters continue to be supported.”

UKHospitality chief executive Kate Nicholls said: "Extending the moratorium is a sensible and positive step by the government. It was really the only option for businesses that are on the brink of reopening but have piled up so much rent debt over the past year.”

Helen Dickinson, boss of the British Retail Consortium, said: “After months of lockdown, this announcement provides much-needed breathing space to retailers impacted most by the pandemic, many of which are sitting on rising rent liabilities.”

While some tenants have agreed rent holidays and deferrals with landlords, many have not and have expressed concerns about being able to pay outstanding rent once the moratorium ended.

But landlords claim some occupiers refusing to pay rent are big, profitable companies.

Jenrick has previously said that businesses that can pay rent should do so.

The government said its current position is to support commercial landlords and tenants to agree their own arrangements for paying or writing off rent debts by June 30.

The government said this is supported by a code of conduct published last year, setting out best practice for these negotiations. But, if these discussions do not happen and there remains a significant risk to jobs, the government said it is also prepared to take further steps.

The government said it is launching a call for evidence on commercial rents to help monitor the overall progress of negotiations between tenants and landlords.

Melanie Leech, chief executive of the British Property Federation said: “The government has acknowledged that the majority of tenants and property owners are working well together – with tenants being transparent about their finances, and property owners supporting those in distress with emergency relief and new, longer-term rent payment arrangements. New, stronger relationships have been built through this process.”

But Leech added: “Nevertheless, there is a minority where relationships have broken down and become toxic, and the continuation of the moratorium will do nothing to unlock the stalemate and allow the market to re-set and recover.”

Katherine Campbell, head of real estate disputes at law firm Reed Smith, said: “We rightfully pour effort into keeping the UK’s retailers afloat, but why does it increasingly seem like the landlords, who also contribute taxes, employ citizens and feed into our economy, have been entirely forgotten? Today's measures kick the can down the street, but eventually we will surely run out of road.”