Fiducia TogetherSecurity of tenure
The right to renew a business lease at the end of the term. Often contracted out.
Please note: This page explains what a term means. It is general information, not legal, financial, tax or investment advice, and it does not know anything about your business. Before you sign, file or commit to anything, check it with an accountant, a solicitor, or the official guidance we link to.
What it means
Part II of the Landlord and Tenant Act 1954 gives most business tenants a right to a new lease at the end of the term, unless the parties have contracted out following a statutory procedure.
Why it matters
With it, you can stay and the landlord can only refuse on specified grounds. Without it, you leave at the end of the term with no right to renew.
What it looks like in practice
Contracting out requires the landlord to serve a warning notice and the tenant to make a declaration before the lease is completed. Both steps are commonly required by landlords now.
What to watch out for
Not knowing which you have. It is one of the most important features of a lease and it is rarely explained to a tenant taking a first premises.
Where to get proper advice
A commercial property solicitor, before signing.
Where to read more
Last reviewed 2026-08-28 by Fiducia Together · Next review due 2027-08-28
Please note: This page explains what a term means. It is general information, not legal, financial, tax or investment advice, and it does not know anything about your business. Before you sign, file or commit to anything, check it with an accountant, a solicitor, or the official guidance we link to.