Business groups call for urgent action on leases to save hospitality sector

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Trade group UKHospitality (UKH) warned thousands more jobs could be on the line if the government fails to act before current protections end on 1 October. Photo: Stefan Rousseau/PA Images via Getty ImagesA stark warning was issued to the government on Sunday, as business groups said a failure to act urgently to solve the burgeoning rent crisis in the hospitality sector will trigger a slew of business failures.Trade group UKHospitality (UKH) warned thousands more jobs could be on the line if the government fails to act before current protections end on 1 October.The government has so far brought in protections for businesses from the most aggressive enforcement activity by landlords through lease forfeiture and debt enforcement moratoria.In a letter sent to the Chancellor of the Exchequer Rishi Sunak and the Secretary of State for Housing, Communities & Local Government Robert Jenrick the group called for these protections to be extended to 31 March 2021.Unsettled rent in the past six months now totals up to an estimated £760m ($972.4m), and with looming payments in September, that figure is due to rise to an estimated £1.1bn.This is mostly held by otherwise viable businesses that are not able to pick up the …

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