Only a small minority of landlords are allowing retailers to switch to paying rents monthly, with the next quarterly rental instalment due on 25 December.
Only a small minority of landlords are allowing retailers to switch to paying rents monthly rather than insisting on three months upfront, with the next quarterly rental instalment due on 25 December.
Just 12 per cent of retail property leases are now on monthly rental terms, while nearly 90 per cent of businesses who have been allowed to move to monthly terms say they have been penalised with higher charges, according to the British Retail Consortium (BRC).
Stephen Robertson, director at the BRC, says: ‘It’s been a tough year with many thousands of shops falling vacant. Helping out before that happens is in the interests of both landlords and retailers. One in eight leases on monthly terms is shameful. Landlords should offer monthly rental terms on all leases where retailers ask for it.’
According to the BRC, two-thirds of new leases have included monthly payment terms since January 2008.