The decision is expected to last until September and will encourage landlords and tenants to discuss manageable rent payments
The UK government has extended its measures to prevent high street businesses from facing eviction during the coronavirus pandemic.
Set to be in place until the end of September, the code of practice will provide ‘clarity for businesses when discussing rental payments’ and encourage a practice to ensure all parties are supported.
The code is asking for landlords and tenants to negotiate affordable retinal agreements in order to keep companies in business.
This will sit alongside other policies to allow breathing space for companies during the pandemic, such changes to Commercial Rent Arrears Recovery.
However, the document expressed that if companies can afford to pay they should do so, as this policy “cannot last forever”.
Despite this, beauty retailer Superdrug slashed three quarters of its rent payments, even though its stores have remained open throughout the pandemic.
Meanwhile, earlier this month, Debenhams was forced to close three more stores after rental discussions with landlords Intu collapsed.
"Sadly we have been unable to agree terms with the landlord,” a Debenhams spokesperson said.
“As a result, these stores will not be reopening in line with the rest of the chain next week.”