Business News

UK faces ‘blood on the carpet’ for more than £ 6bn

The UK government is forced to address the $ 6bn debt crisis and prevent a spate of lawsuits between retailers and homeowners, ending temporary suspension of their expulsion next month.

“If the government doesn’t do anything, you will have blood on the carpet. What you need is one landlord to cover all the repayments and the whole company could collapse, ”said Kate Nicholls, executive director of UKHospitality, a sales agency.

The law has banned eviction since it was enacted in March 2020 but expires on June 30.

In a letter sent to real estate agent Robert Jenrick on Friday in a report by the Financial Times, UKHospitality stated that “there is an obligation for landlords… To make a lease for businesses that are being forced to close”.

It suggests that the government should step up the process of freeing people until December to allow businesses to repay after jobs, and to formulate justice mechanisms for sharing losses between homeowners and 50% of the rent paid off.

Hospitality and marketing are among the areas most affected and the plague, having been confined for a long time.

UKHospitality estimates that 2bn pounds borrowed from hospitality businesses with 40% of land still negotiating unpaid rent with landlords. 20% to 30% would have discussed how to settle the debt that arose last year, it said.

Officials have asked tenants and landlords to express their views on six possible future developments, as well as what they have submitted Tuesday. This is only by finalizing the eviction until the final judgment of the landlords and landlords.

A group of homeowners, led by Britain Land, Global Security and the British Property Federation, offered their views Thursday. He argues that businesses should pay rent from the end of June, when trade will resume under the government’s reinstatement idea.

He also said that the rent he had not received since March 2020 would be fenced off and security guards would be protected until the end of 2021, giving them time to reach an agreement on what can be registered, delayed or paid.

If a settlement cannot be reached, the homeowners are looking for a way to appeal to their audience. “Eventually you need something to bring people to the table,” said Mark Allan, chief of Landsec.

Hospitals say their recovery could be hampered by rent as soon as they are allowed to reopen completely on June 21, including business holidays that end at the end of June.

Peter Thornton, chief financial officer at Piano Works, which owns two bars in London, said he had repaid a $ 687,000 loan and did not agree with any of the creditors. “We have a huge financial risk once we return and sell. . . we are at the mercy of the landlord, ”he said.

David Abramson, Cedar Dean’s chief marketing officer, said the problem was particularly difficult for small businesses that did not have the resources to hire consultants.

Several major companies including New Look and The Restaurant Group have been going through work that has forced homeowners to reduce rent. But within the past two weeks, two Supreme Court decisions have ruled that residents living in the home including Sports Direct, Mecca Bingo and Cineworld have paid off debts.

Source link

Related Articles

Leave a Reply

Back to top button