What’s Changed and What Are my Rights as a Landlord or Tenant of Commercial Property in Wales?

April 5, 2022

 

By Siôn Fôn

Our recent article (link) discussed the replacement of the general moratorium on forfeiture of commercial leases in England with the Commercial Rent (Coronavirus) Act 2022 (“the Act”), which once again permits landlords to commence forfeiture proceedings in certain circumstances and is intended to promote the amicable resolution of disputes regarding lockdown related arrears via a new arbitration process.

However, it is important to note that the position differs in Wales, where tenants of commercial premises will continue to benefit from the general moratorium on forfeiture for a further six months under the Coronavirus Act 2020 (Alteration of Expiry Date) (Wales) Regulations 2022. The development of devolution has meant that there has been a slow and steady shift in residential housing law between England and Wales and it is not always the case of ‘for Wales, see England’ . However, this is the first time that we are aware that there is a stark difference between the remedies available to commercial landlords of property based in Wales despite the shared ‘law of England and Wales’. If this trend continues and the laws between the two nations start differing dramatically, calls for a separate legal jurisdiction will likely increase.

Whilst the Act will have the same effect in Wales as it currently does in England from 25 September 2022, meaning landlords of commercial premises in Wales may once again commence forfeiture proceedings in limited circumstances (that is, for non-protected arrears) –  it is interesting to note that the options available to commercial landlords will be different depending on which side of the border the property is located.

If you are a landlord or a tenant of commercial premises in England and require advice on your rights and obligations, please get in touch with Siôn Fôn now on 029 2082 9107 for an initial free, no obligation chat.

 

 

 

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