Sport, parks and leisure - Going bust: thousands of UK gyms face 'rent timebomb' at the end of June – ukactive calls for government protection...
28 Nov 2020 Sport, parks, & leisure: daily news and jobs
 
 
HOME
JOBS
NEWS
FEATURES
PRODUCTS
FREE DIGITAL SUBSCRIPTION
PRINT SUBSCRIPTION
ADVERTISE
CONTACT US
Sign up for FREE ezine
Latest news

08 Jun 2020

Going bust: thousands of UK gyms face 'rent timebomb' at the end of June – ukactive calls for government protection
BY Tom Walker

Thousands of communities across the UK could lose their gyms and leisure centres without government protection, says ukactive

Thousands of communities across the UK could lose their gyms and leisure centres without government protection, says ukactive
photo: Shutterstock/fizkes

Thousands of UK gyms could go out of business if they're forced to pay full rent payments, which are due at the end of this month.

In April, industry body ukactive successfully lobbied the government to amend the Coronavirus Act to restrict tactics being adopted by landlords who were insisting gyms and leisure centres pay rent that had been withheld as a result of COVID-19. However, these protective measures expire at the end of June.

This means gym operators will be liable for rent payments they potentially cannot afford – forcing many into administration as they're threatened with legal action through statutory demand notices and winding-up orders.

ukactive is calling on the government to extend its protection for thousands of tenants who will be asked to pay the rent for the next quarter on 24 June.

A consultation, involving the UK’s leading fitness operators, revealed that many are facing financial meltdown if nothing changes in the coming days.

“We're all looking forward to the day when we can reopen our clubs and start trading, but the government must recognise that as a sector we have been, and will be closed, for longer than almost every other sector – with zero income," said Martin Long, CEO of DW Fitness First – one of the UK's largest gym operators.

“For the sector’s survival, extended protection from imminent rent demands at the end of June is a pre-requisite to allow the industry time to reopen and to rebuild.”

Huw Edwards, CEO of ukactive, said the government should support the sector by extending the Insolvency Bill – with specific emphasis on the Moratorium of Forfeiture – until the end of Q3 (October 2020) and scrap Stamp Duty Land Tax for extending leases during this period.

“Thousands of gyms and leisure facilities are facing a ticking time bomb with rent payments approaching fast, despite the fact they have been closed for more than 10 weeks," Edwards said.

"The Government must ensure that our members are able to open their doors with confidence and be unafraid of the imminent threat from landlords as they get back on their feet.

“We need urgent action to provide further protection for gyms and leisure facilities so that they are not forced to close permanently due to unaffordable rent payments. This would be a tragic loss to communities across the UK.”



Connect with
Sport Parks Leisure
Magazine:
View issue contents
Sign up:
Instant Alerts/zines

Print edition
 

News headlines
The fitness industry can drive the UK’s economic recovery from the pandemic, says Huw Edwards
The fitness industry can drive the UK’s economic recovery from the pandemic, says Huw Edwards   26 Nov 2020

This year's UK government Spending Review, announced in Parliament by chancellor Rishi Sunak on 25 November, offers the physical activity sector .... more>>
100k people to get free gym sessions as fitness industry strengthens its position as an essential service
100k people to get free gym sessions as fitness industry strengthens its position as an essential service   25 Nov 2020

Up to 100k people will benefit from the free gym and physical activity sessions, thanks to a partnership between ukactive, NHS England and .... more>>
UK fitness sector facing fight to keep group exercise open in tier 3 areas
UK fitness sector facing fight to keep group exercise open in tier 3 areas   24 Nov 2020

To the relief of the sector, the UK government confirmed yesterday (23 November) that gyms, health clubs and leisure centres will be allowed to open .... more>>
Parliamentary debate: it's 'unthinkable' gyms could be forced to close during future lockdowns, say MPs, but minister is non-committal
Parliamentary debate: it's 'unthinkable' gyms could be forced to close during future lockdowns, say MPs, but minister is non-committal   23 Nov 2020

Closing gyms and leisure facilities during any possible future lockdown would be "unthinkable", according to Catherine McKinnell, MP for Newcastle .... more>>
Gyms in England to reopen when lockdown ends – and remain open, even in Tier 3 areas. Group ex singled out for restrictions
Gyms in England to reopen when lockdown ends – and remain open, even in Tier 3 areas. Group ex singled out for restrictions   23 Nov 2020

Gyms, health clubs and leisure centres will be able to open their doors when the current lockdown measures in England come to an end on 2 December. .... more>>
Company profile


Myzone Group Ltd

For Health Club Operators, we provide a member engagement system that enhances the fitness experience, and drive revenue.

View full profile>>

Catalogue gallery


Featured Supplier

Cryotherapy specialists, L&R Kältetechnik, launch new artofcryo.com division

Cryotherapy specialists, L&R Kältetechnik, launch new artofcryo.com division

L&R Kältetechnik has launched a new division, named artofcryo.com, after 30 years’ experience with -110 °C electrical solutions. More>>




in this issue

• Gyms open, but group exercise fight looms
• ukactive reveals details of new Active Standard
• PureGym 'burning £4m a week' during lockdown



Latest jobs

Jobs Search



Duty Manager
Salary: Competitive
Location: Alcester, UK
Company: Everyone Active
General Manager
Salary: Excellent salary plus benefits
Location: Southam, UK
Company: Everyone Active
Membership consultants
Salary: Competitive salary plus benefits
Location: Lutterworth, UK
Company: Everyone Active
Diary dates
Powered by leisurediary.com

27-28 Nov 2020

National Fitness Awards 2020

Athena, Leicester, United Kingdom



Leisure Management magazine 2018 issue 1
Leisure Management
2018 issue 1

View issue contents
View on turning pages
Download PDF
  Promotional feature: Alliance Leisure
The future of leisure in times of austerity More>>
  Trends: Introducing Gen Z
How will this tech-savvy, social media-driven generation affect your business? More>>


Leisure Management magazine 2016 issue 1

Leisure Management
2016 issue 1

View issue contents
View turning pages
Download PDF
  Talking Point: Cruise control
The cruise industry is expanding, but concerns are growing about pollution More>>
  Last word: Nature’s bounty
FairWild is setting standards in the harvesting of wild ingredients More>>


Published by The Leisure Media Company Ltd Portmill House, Portmill Lane, Hitchin, Herts SG5 1DJ. Tel: +44 (0)1462 431385 | Contact us | About us | © Cybertrek Ltd