The Government has extended measures to help companies struggling to pay rent and avoid eviction until the end of September.

It has published a new code of practice to encourage commercial tenants and landlords across the UK to work together to safeguard businesses hit by the “income shocks caused by the pandemic”. It has also extended its suspension of evictions from June 30 until September 30, which will mean no business can be forced out of its premises if it misses a payment. Plus, legislation is being put in place to limit the use of statutory demands and winding-up petitions until 30 September through the Corporate Governance and Insolvency Bill.

The new code is voluntary and provides best practice and a unified approach to finding temporary and, if possible, sustainable arrangements outside of the existing letter of leases to create a shared recovery plan. It has been endorsed by a broad range of business organisations, including British Chambers of Commerce, British Property Federation, Federation of Small Businesses and Scottish Property Federation.

Communities secretary Robert Jenrick said: “We are extending measures to protect those who are unable to pay rent from eviction so that businesses have the security they need to plan for their futures. Our new code, backed by leaders across the industry, will help unlock conversations on rent and future payments whilst ensuring best practice is displayed across the board as we confront the challenges of this pandemic.”

The full Code of Practice can be viewed online.