Revealed: Councils losing tens of millions of pounds supporting companies through COVID

Revealed: Councils losing tens of millions of pounds supporting companies through COVID

Local authorities are losing tens of millions of pounds supporting struggling business tenants through the pandemic which could have dire and long-lasting consequences for local services, Sky News has found.Freedom of Information requests reveal English councils have already written off at least £19.7m associated with measures to support local businesses, including rent relief, rent renegotiations, payment holidays or business tenants going into administration.

A further £5.8m was lost as a result of Company Voluntary Arrangements (CVAs). These are arrangements where companies on the brink of insolvency negotiate debt repayments with their creditors in order to stay afloat - in this case, rent and rates paid to the council.

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Shops on high streets across the UK been forced to shut during lockdown



Lost income from business tenants is just one factor currently wreaking havoc with local