Upward Only Rent Reviews โ a case of history repeating itself?
Our Senior Partner, Joseph Holder, has shared his views on the Governmentโs 2025 proposal to ban upwards-only rent reviews (UORRs) in new commercial leases as part of its English Devolution and Community Empowerment Bill.
An upward only rent review is a clause in a commercial lease in England and Wales which mandates rent can only increase or stay the same upon each review (usually every five years) and never decrease, regardless of the market.
The government asserts the ban will do away with โlandlord manipulation of the marketโ while making โcommercial leases fairer to tenants, the market more efficient and ultimately contribute to thriving high streets and economic growthโ.
Many in the commercial leasing world may be experiencing a feeling of Dรฉjร vu recalling the Labour government in 2005 proposing a similar ban.
In July 2025, Joe spoke with Property Week on this topic. In the article, Joe comments: โIt does not seem to me that anything has changed to justify the governmentโs interference in the marketplace. There is no evidence โ and the government has not sought any โ that UORRs have any impact on tenants taking lettings. Of more concern to them are business rates, the poor performance of the economy, regulation and the costs of debt.โ
Joe authored an article examining this issue in depth in August 2025 for Estates Gazettes, which came 21 years after having penned an article on the same topic for the same publication. In the article, Joe writes: โIt is clear the market reaction to the proposed legislation has not changed. What is unclear are the legitimate reasons to introduce the ban industry-wide. Removing autonomy from contracting parties and passing the power over to the government could be interpreted as a political headline fix to avoid the more thorny issue of stimulating economic growth.โ
Coverage
- Upwards-only rent reviews: Dรฉjร vu, all over again, Estates Gazette, 21 August 2025
- Rent review ban sparks concern, Property Week, 23 July 2025
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