05 Apr Here’s All you Need to Know About Support for Commercial and Residential Tenants
Like other sectors, Covid-19 has brought bad news for business owners. The situation is getting worst in different countries, forcing all these businesses to close down. The UK Government introduced a couple of schemes in this regard to support all the small business owners (commercial and residential tenants) achieve their business goals.
The ban on commercial eviction got extended to 30th June. It’s also important to notice that the eviction ban got extended to 31st May to protect residential tenants.
A lot of these business owners had to cut down on trading during the period of lockdown. They’ve been provided with extra support since there’s been an extension on commercial evictions further for 3 months.
Commercial and Residential Tenants: Whom will the decision help out?
The decision is supposed to help bars and restaurants (commercial tenants) get back to business by May. The hospitality doors will reopen not before 17th May.
Here comes the next question: how will the residential tenants be supported? Ban on bailiff- enforced eviction occurs during the most serious circumstances. These include instances of fraud and even domestic abuse. A 6 months notice period needs to be given to tenants before they evict before 31st May.
This process will ensure residents of both private and public sectors live at their rental homes and they’d get sufficient time to find an alternative residence as the government moves further.
Are you a landlord, struggling to reduce your rental tax liability, reach out to our chartered accountants in London for expert support?
Quick wrap up:
So, now, you know about the government support for commercial and residential tenants. You should also consider that despite all the benefits provided to the tenants, the government has made it clear that those tenants who haven’t suffered due to Covid-19 must pay their due partial or total rent.
This incentive, along with many other ones, will protect the rights of businesses that are using a rental property.
The business re-openings will secure 49% jobs of the hospitality workers and 36% of retail workers. It’d be a significant contribution to the economic revival of the UK from the Covid crises.
Disclaimer: This blog is intended to provide you the basic information about the topic.