“The PGB in conjunction with the PGB of Scotland has agreed with the pub companies who follow the Tenanted and Leased codes of practice and self-regulation that all rent review negotiations will be suspended while pubs remain closed during the coronavirus epidemic. This pragmatic and sensible step is in addition to any agreements individual companies have put in place for their pubs and relieves all tenants of one possible worry during the coronavirus epidemic. It runs from 16th March until at least until the end of June, by when we all hope we will have returned to more normal trading conditions. This quick and flexible response to the current crisis shows how voluntary regulation brings real benefits to pubs and we hope it will be welcomed.”
Rent reviews and other timelines under the Codes of Practice (England, Wales and Scotland) Suspension of all defined periods within the three Codes whilst pubs are closed. For the purpose of consistency, the suspension will be from 16 March 2020 until 30 June 2020, unless approval is given for pubs to open sooner. This suspension period will be kept under review by the PGB’s and may be extended if pubs remain closed beyond 30 June. The suspension will not cancel or undermine any rights that the tenant or lessee has as set out in the Codes; it is solely for the purpose of acknowledging the practical difficulties of maintaining the defined periods during a period when pubs are closed and many staff are furloughed. The Principles of the Codes, as set out in all three documents, remain valid and applicable.
Further information and what this means in practical terms:
- A pause in ongoing and upcoming rental negotiations
- No requirement for BDMs to respond within 35 days, though best attempts to do so should be made, and accepting that the response can be made by an alternative representative of the pub company rather than only the BDM
- Visits for the purposes of rent assessment being postponed until pubs re-open
- Any request submitted by a tenant for a rent review during the suspension period being paused until that period ends.
- Subsequent rent review periods being shortened by the length of the suspension period, i.e. three months.
If you have any questions please contact: Fiona Moran PGB Administrator, Tel: 01276 417853, E: Fiona.Moran@bii.org