Covid 19: Restrictions and Solutions

From 29 March

Debt Squared Group will keep you updated with the changing UK property landscape, as the government phase back restrictions and as new legislation is introduced – We’ve Got You Covered!

CRAR

Yes, subject to their being to 457 days’ between 25 March and 23 June, and 554 days’ between the 24 and 30 June (ie for one week).

SCAR

Yes, and exclusively from Debt Squared Group as a nonenforcement pre-legal debt recovery service. No Recovery – No Fee.

Forfeiture

Yes, subject to there being a breach of the lease that is not subject to rent arrears. Section 82 Coronavirus Act 2020 prevents any forfeiture between 26 March 2020 and 30 June 2021, for nonpayment of any sums due under the lease.

Squatters

Yes, Practice Direction 51Z in the removal of Persons Unknown (Squatters).

Travellers

Yes, Common Law evictions remains enforceable for any persons who are unlawfully occupying private commercial land.

Sub-tenants

Yes, where a tenant has sublet its premises and the tenant is in arrears of rent under its lease, the CRAR procedure gives a superior landlord a right to serve a notice under section 81 of the Tribunal, Courts and Enforcement Act 2007 upon its subtenant.

Former Tenants

Yes, where a tenant has sublet its premises and the tenant is in arrears of rent under its lease, the CRAR procedure gives a superior landlord a right to serve a notice under section 81 of the Tribunal, Courts and Enforcement Act 2007 upon its subtenant.

End-of-tenancy

Yes and exclusively from Debt Squared Group, smartPROP involves our team in making contact with a tenant prior to their occupancy ending (typically within 72 hrs). Our appointed account manager will arrange for a representative to meet the tenant on the lease termination date at the demise premises and undertake a property hand-back.

Statutory Demands & Winding-up

The Corporate Insolvency and Governance Act (CIGA) prohibits the presentation of a winding-up petition based on an unsatisfied statutory demand and has have been extended until 30 September 2021. These can still be served but no winding-up petition can now be presented for failure to make payment of the sums demanded before 30 September 2021 under the Corporate Insolvency and Governance Act (CIGA).

The Debt Respite Scheme

Guidance comes into force on 4 May 2021.

Standard Breathing Space: A standard breathing space is available to anyone with problem debt. It gives them a 60-day moratorium from legal action being taken against them by creditors. During the 60-day period the person will benefit from a freeze on interest, charges, even contact and most enforcement action.

A Mental Health Crisis Breathing Space: A mental health crisis breathing space is only available to someone who is receiving mental health crisis treatment and lasts as long as the treatment does, plus 30 days from the end of the treatment.

Business Health Check Reports

A flexible process conducted confidentially in which a trained neutral mediator activity assists people and/or organisations to work towards a negotiated agreement.

  • Strategy Consulting
  • Turnaround & restructuring
  • Funding
  • Accountable

Residential

Legislation is in place to ensure bailiffs do not serve eviction notices or carry out evictions (including mortgage repossessions) but there are exceptions for the most serious circumstances that present the most strain on landlords. These circumstances are illegal occupation, false statement, anti-social behavior, perpetrators of domestic abuse in the social sector, where a property is unoccupied following death of a tenant and serious rent arrears of 6 months’ rent or more. These measures are in force until the end of 31 May 2021. Given that 14 days’ notice is required before an eviction can take place, no evictions are expected before mid-June except in the most serious circumstances.

In Wales, subject to a periodic 3 week review, bailiffs are not allowed to enforce evictions until the end of 30 June 2021, except in cases relating to, illegal occupation, anti-social behavior, eviction of perpetrators of domestic abuse in the social sector where the victim is housed elsewhere and where the property is unoccupied following the death of a tenant.