BPF responds to Law Commission's consultation on right to renew business tenancies
The British Property Federation (BPF) has responded to the Law Commission’s consultation on the right to renew business tenancies under the Landlord and Tenant Act 1954 (LTA 1954). The BPF contends that security of tenure should not be the default position for commercial leases. It recommends shifting from an 'opt-out' to an 'opt-in' approach and excluding leases of five years or less from security of tenure. The BPF asserts that this approach would streamline the leasing process, facilitate the decarbonisation of buildings, simplify town centre redevelopment and repurposing, and reduce pressure on the courts. In addition, the BPF argues that the LTA 1954 makes it difficult for property owners to introduce green clauses into leases or access properties for retrofitting to improve environmental sustainability. The BPF also strongly opposes the Law Commission’s proposal for mandatory security of tenure, stating that it would restrict property owners’ ability to manage their property effectively and reduce investment in the commercial property sector.
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