Rent review sees reduction for pub tenants

Wednesday, April 22, 2009

Pub tenants for three firms will see rent reductions after the Retail Price Index inflation rate went negative.

The tenants of three pub companies will be able to enjoy a reduction in rent after the Retail Price Index (RPI) inflation rate went negative.

Rent review calculations will be adjusted to take into account the new minus 0.38 per cent figure announced for March this year, reports the Morning Advertiser.

Admiral Taverns, Punch and Trust Inns have pledged to honour the reduction.

Tenants of Admiral Taverns will get the reductions and the firm promised to be fair with those caught in "invoice vacuums" in which review details were sent out before the announcement of the March RPI.

Brian King, managing director of Trust Inns, commented: "We will follow the RPI figure and give our licensees the benefit of the reductions."

Other businesses in the UK are hoping for a reprieve today in the form of chancellor of the exchequer Alistair Darling's Budget speech.

There have been calls from many firms and organisations, including the British Retail Consortium, to put a hold on the planned increases in business rates.

The government has been warned that failing to do this could result in increased unemployment levels.

Source: ask-re The Property People LLP