Business owners will be protected from eviction until March 2021, while insolvency measures restricting statutory demands and winding-up petitions have also been extended.
The restriction on landlords using Commercial Rent Arrears Recovery (CRAR) to recover unpaid rent will also automatically extend to the end of March, a move which will help hospitality admirably.
UKHospitality chief executive Kate Nicholls said: “This is a very welcome respite and it will be crucial in ensuring that more businesses do not fall off an immediate cliff-edge. Hospitality businesses that have been hammered all year long were staring down the barrel of mass failures and job losses without this.
“If it is to be the final extension to the moratoria, then it is absolutely crucial that it is followed swiftly by a cohesive and comprehensive package of recovery measures from the government. The focus now needs to turn to helping businesses begin to get back towards full strength and trade their way out of danger.
“An extension to the business rates holiday and VAT cut are a must, alongside loans to tenants where landlords have provided rent concessions.
“The government must facilitate a resolution to the problem of rent debt which has built up over a devastating year. The forthcoming enhancements to the Code of Practice must bring landlords to the table to find a solution. They cannot be allowed to simply wait until April in order to evict and wind-up businesses.
“The review of Commercial Property legislation, due to begin in the New Year, must also be delivered at pace. We have been calling for this for a long time and it needs to happen sooner rather than later if we hope to see more businesses benefit from it.”