THE decision to ban clauses in business leases which provide for upward-only rent reviews is welcome.
It is bizarre that very large numbers of businesses, especially small to medium sized ones, are unable to renegotiate rental contracts to reflect current market activity or property prices. This has undoubtedly closed businesses and cost jobs we can ill afford to lose.
Though welcome the amendment will do nothing in the short term to help businesses already committed to such arrangements. These businesses will have to be satisfied with their current arrangements until the time comes to renegotiate terms with their landlords. Hopefully the clause won’t cost too many jobs in the interim.
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