The Government has further extended some of the temporary measures put in place to protect companies against the impact of the Covid-19 pandemic. These measures have already been extended on a number of occasions.
Restrictions on the issue of winding up petitions
New regulations have extended the duration of the temporary restrictions on the issue of winding up petitions introduced by the Corporate Insolvency and Governance Act 2020 (see our corporate update 2020/14).
Under the Corporate Insolvency and Governance Act 2020 (Coronavirus) (Extension of the Relevant Period) (No. 2) Regulations 2021, the restrictions on the issue of winding up petitions based on statutory demands issued after 1 March 2020 will now remain in place until 30 September 2021.
Restrictions on forfeiture of commercial leases
The Government has announced that the restrictions on landlords being able to forfeit commercial leases for non-payment of rent have been extended until 25 March 2022 (the protection was due to expire on 30 June 2021). The Government’s intention is to allow commercial tenants, some of which had to legally remain closed during the various lockdowns, extra breathing space to protect jobs and to allow further time for negotiations with their landlords to come to an agreement on how to handle unpaid rent which has built up during the preceding months. For further information see this post on our Real Estate blog.