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UK retailers need more help to avoid a closing “tsunami” and rent £ 2.9 billion

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Reuters

It was published



June 1, 2021

If the government does not extend the suspension of aggressive debt execution, the UK retail sector will withstand the “tsunami of closure”, industry lobby groups UK Retail Consortium (BRC) said.

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According to survey data, two-thirds of UK retailers will be subject to legal action to recoup their unpaid rent from July 1, when the moratorium ends.

According to the BRC, many UK retailers considered “non-essential” have had to close their stores during multiple COVID-19 blockades over the past 15 months, for a total of £ 2.9 billion (41). A rent debt of ($ 100 million) has been incurred.

The pandemic is hitting this sector, with one in seven stores already empty, according to industry data. According to a BRC survey, 80% of tenants say that some landlords have less than a year to repay their rent delinquency.

If no action is taken, thousands of stores could be closed at the end of the moratorium, said BRC CEO Helen Dickinson.

She urged the British government to limit rent delinquency during the pandemic and allow the repayment moratorium of these debts to be extended until the end of the year.

“This allows all parties to work on sustainable long-term solutions and share the pain caused by the pandemic more equally between landlords and tenants,” she said. Told.

“If we don’t take action, the city center, boulevards and shopping centers will be affected, hindering a wider economic recovery,” he said.

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UK retailers need more help to avoid a closing “tsunami” and rent £ 2.9 billion

Source link UK retailers need more help to avoid a closing “tsunami” and rent £ 2.9 billion

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