House of Commons · Bill Debate
24 November 2021 · 11 other contributors
Opened by Paul Scully Con Bromley and Chislehurst
Summarised by AI from the official record, so it can contain mistakes.
Paul Scully raised concerns about commercial rent (coronavirus) act 2021 - clause 1 in the House of Commons. Other MPs contributed to the debate.
Key points
MPs spoke in turn to share their views and ask questions. Here's what each person said.
Opened the debate
The Bill aims to implement a binding arbitration process for resolving disputes over unpaid rent from businesses mandated to close during the pandemic. It protects jobs, ensures swift market recovery, targets support to hardest-hit sectors like hospitality and retail, and establishes clear principles for arbitrators. The system will provide clarity and certainty for both landlords and tenants while ensuring that relief is granted only for viable businesses.
Welcomes the Bill but asks for clarity on how the viability test will be assessed. Highlights concerns that businesses may face additional financial strain due to rent obligations, urging careful consideration of guidance.
The Bill is welcomed but needs further scrutiny on transparency, viability assessments, consistency in appeals processes, and ensuring a new operational system by March next year. Despite previous government support measures like bounce back loans and VAT deferrals, many businesses still struggle with high costs of living and job losses affecting demand for retail businesses.
The Bill is welcomed but highlights the need for more comprehensive support for small businesses, which face difficulties due to council budget cuts. The government must offer a recovery plan.
Supports Ruth Cadbury’s position on the need for further action beyond the Bill, especially addressing unfair business rates systems as promised since 2014 but not yet implemented.
Welcomes the Bill but raises concerns about its practicality given current pressures on business and public sectors. Emphasises the need for fair treatment of physical retail businesses compared to online businesses, highlighting Reading's importance as a retail centre for central southern England. Argues that small businesses are the lifeblood of the economy and need support in terms of rent arrears and banking facilities. Raises specific issues such as bank branch closures and cash transaction challenges faced by small businesses.
[INTERVENTION] Agrees with Matt Rodda’s comments on the impact of local bank closures, highlighting increased travel distances and longer queues affecting elderly and disabled people in her constituency.
The Liberal Democrats support the Bill, which aims to protect struggling businesses by introducing an arbitration mechanism for rent disputes. Sarah Olney highlights specific cases of businesses in her constituency that have faced significant challenges due to rent arrears and praises the proposed arbitration process as it would give a voice to both tenants and landlords where other negotiation mechanisms are absent. She also notes concerns about the viability assessment criteria for businesses, questioning how one can determine if a business was viable given the unprecedented conditions of the pandemic.
Supports the Bill, emphasising the need for a fair arbitration process to address commercial rent arrears. Discusses broader concerns such as business rates reform, the impact of rising costs on businesses, and the importance of ongoing support from the Government during recovery.
Intervened to emphasise that businesses need a responsible government who take their responsibilities seriously. Agrees with Seema Malhotra's point about the importance of Government support for business recovery.
Asked about the Government's intention to introduce a cap on arbitration fees, emphasising the need for affordability in light of the economic context. She questioned how the Secretary of State would set such a cap and what assessment had been made regarding its impact on small businesses.
Invited the Minister to visit Reading to understand specific issues faced by local high street businesses, particularly in areas lacking bank services. He expressed support for several local businesses mentioned by the Minister.