Powys Council will not be providing a rent holiday for its business tenants – because it would be unfair on private sector landlords.

Under the questions at anytime protocol, leader of the Liberal Democrat/Green group, Cllr James Gibson-Watt has brought up the issue, as other local authorities in Wales are giving tenants rent holidays.

But Powys Council has decided against taking similar action as it would not be fair on the private sector landlords, but is allowing businesses to defer their payments, with the full sum being due in the same financial year.

Cllr Gibson-Watt (Glasbury – Liberal Democrat) said: “Would the Cabinet now consider providing rent holidays to ease the financial pressure on its business tenants?”

Portfolio holder for education and property, Cllr Phyl Davies, said: “The council has not offered rent holidays for its tenants during the coronavirus pandemic, although I am aware that other authorities in Wales have done so.”

Cllr Davies said that PCC had asked other councils and the Welsh Government how they were dealing with commercial tenants thought the pandemic.

Cllr Davies explained that eight other councils and the Welsh Government were using a rental deferment package, which needed full repayment in the same financial year.

He said that PCC had chosen this model rather than giving tenants a rent free period – but no business tenants have yet applied for the measure.

Cllr Davies added: “A full rent holiday would have meant that we would have lost one quarter of our income from our commercial estate.

“It was felt such a decision would also potentially be inequitable to private sector tenants whose landlords could not afford to grant them such favourable waivers of lease obligations.”

The current protection – has now been extended from June  30 to December 31, and could be extended again into 2021, should business tenants want to defer payments.

Cllr Davies added: “The council may need to work out appropriate repayment plans with tenants who have struggled to meet their liabilities during the pandemic, and these plans may now extend into the next financial year.

“We will of course keep a close watch on this very important issue and review as necessarily should the need arise.”

PCC has a wide range of business and industrial premises throughout Powys, from 250 square foot starter workshops to large scale industrial units.