The Confederation of British Industry (CBI) works in the interests of over 190,000 companies, small and large, across the UK. With the announcement that the moratorium on commercial rents was to be extended from the end of June 2021 until 25th March 2022, Matthew Fell, CBI Chief UK Policy Director, issued this statement.
"An extension to the commercial rents moratorium will give much-needed breathing space to firms in the hardest-hit sectors. For many, this could make the difference in keeping businesses afloat and people in jobs.
"Treating debts accrued through Covid-enforced closures differently makes sense, and the CBI welcomes guidance for occupiers and landlords to deal fairly with these arrears. The promise of arbitration to settle disputes should encourage grown-up conversations in the months ahead.
"The extended moratorium will come as a relief for many, but with much of the economy already open and trading this was a missed opportunity to resume normal market activity for those tenants and landlords who are in a position to do so. Many have already agreed new leases and debt settlements, yet there is a minority of firms that should be paying rent, but are not.
"We will work with government to help shape the necessary legislation ensuring strong relationships remain in place across the commercial property market beyond the pandemic, optimising recovery for both tenants and landlords."
More information about the CBI can be found on their website.