Skip to main content
Book a call — £89
Menu

Commercial Lease Breach Notices UK: Landlord Guide

We're not a law firm — we help you find the right legal support. For advice on your situation, speak to a legal adviser or find a solicitor.

Written by Brad Askew Solicitor (non-practising)
Brad is on the roll of solicitors of England & Wales but does not hold a practising certificate and does not provide legal advice.
Updated June 2026 · England & Wales
When a commercial tenant falls behind on rent, alters the premises without permission, or sublets without consent, a landlord's first instinct is often to reach for a formal letter. Getting that first communication right matters more than many landlords realise. A poorly drafted notice can weaken your position later, particularly if the matter escalates toward forfeiture or court proceedings. On the other hand, a well-judged warning letter often resolves the issue without either side needing to involve lawyers. This page walks through the common types of lease breach, what a warning notice typically contains, and the practical steps most landlords take before considering more serious remedies. If you want to talk through your specific situation with an experienced legal adviser before acting, you can book a call at the bottom of this page.

What this document is

A breach of commercial lease notice is a written communication from a landlord to a tenant, flagging that the tenant has failed to comply with one or more terms of the lease and setting out what needs to happen next. These letters sit on a spectrum.

At the gentler end, you have reminder letters for late rent or minor issues. At the firmer end, you have formal notices that put the tenant on notice of a specific breach and warn of consequences if it is not remedied within a stated period.

For certain types of breach other than non-payment of rent, a landlord who wants to forfeit the lease must first serve a formal notice under section 146 of the Law of Property Act 1925. That notice has strict content requirements and should generally be prepared by a solicitor.

Warning letters and reminders, by contrast, are less formal and are used to open a dialogue and give the tenant a chance to put things right.

How to use this document

  1. Identify the exact breach. Before sending anything, read the lease carefully and pinpoint the clause the tenant has broken. Is it a rent covenant, a user clause, a repair obligation, an alterations clause, or an alienation provision? Vague accusations weaken your position. Specificity protects it.
  2. Gather your evidence. Keep copies of the lease, rent statements, photographs, inspection reports, correspondence, and anything else that supports your view that a breach has occurred. If the matter later reaches a court or tribunal, this paper trail becomes central to the outcome, so start building it early.
  3. Send a clear, proportionate warning letter. For most first-stage breaches, a calm letter that identifies the breach, refers to the relevant clause, requests specific remedial action, and sets a reasonable deadline is appropriate. Avoid threats you cannot back up, and keep the tone professional, because these letters can end up in front of a judge.
  4. Consider whether a formal section 146 notice is needed. If the breach is non-rent and you are contemplating forfeiture, a section 146 notice is usually required. This is a formal document with specific legal requirements, and getting it wrong can be fatal to a forfeiture claim. Take advice before serving one.
  5. Decide on next steps if the breach continues. If the tenant ignores your warning, you may need to consider remedies such as commercial rent arrears recovery (for rent), forfeiture, damages, or an injunction. Each has conditions and risks, and the right choice depends on the lease terms, the breach, and your commercial objectives.

Common questions

If you're dealing with this kind of situation, speak to an experienced legal adviser who can walk you through it — from £149.

Common questions

Q What counts as a breach of a commercial lease?
Any failure by the tenant to comply with a covenant or obligation in the lease. Common examples include non-payment of rent or service charge, carrying out alterations without consent, using the premises outside the permitted use, assigning or subletting without permission, and failing to keep the premises in the required state of repair. The lease itself defines what is and is not a breach.
Q Do I need to send a warning letter before taking action?
It depends on the remedy you want to pursue. For rent arrears, landlords can often act without a formal warning, though a reminder is usually sensible commercially. For most other breaches, if you are heading toward forfeiture, you will need to serve a section 146 notice first. Even where not strictly required, a warning letter often resolves matters more cheaply than formal action.
Q What is a section 146 notice?
A section 146 notice is a formal notice under the Law of Property Act 1925 that a landlord must generally serve before forfeiting a commercial lease for any breach other than non-payment of rent. It must specify the breach, require it to be remedied if capable of remedy, and give the tenant a reasonable period to comply. The content and service requirements are strict.
Q Can I forfeit the lease straight away if rent is unpaid?
Forfeiture for rent arrears is subject to specific rules and, in most modern commercial leases, requires a formal demand unless the lease waives that requirement. Peaceable re-entry is possible for some commercial premises but carries significant risks, including waiver of the right to forfeit through acts like accepting rent. Taking advice before acting is strongly recommended.
Q What is CRAR and when can a landlord use it?
Commercial Rent Arrears Recovery, known as CRAR, is a statutory procedure that allows a landlord of commercial premises to instruct an enforcement agent to take control of goods at the premises to recover principal rent arrears. It has strict conditions, including minimum arrears thresholds and notice requirements, and only applies to pure commercial lettings, not mixed use.
Q What happens if I accidentally waive my right to forfeit?
A landlord can lose the right to forfeit for a known breach by doing something that recognises the lease as continuing, such as demanding or accepting rent that falls due after the breach. Waiver is a common and painful trap. If you are considering forfeiture, avoid any communication or invoicing that treats the lease as ongoing until you have taken advice.
Q Should I try to negotiate before taking formal action?
In many commercial situations, yes. Tenants in difficulty may agree to a payment plan, a partial surrender, or a variation of terms that preserves the income stream and avoids void periods and re-letting costs. Formal action is often a last resort once dialogue has broken down, though keeping your legal options open during negotiation is important.
If you're dealing with this kind of situation, speak to an experienced legal adviser who can walk you through it — from £149.

Sources

This guide is based on primary UK law and official guidance.

Brad Askew, Solicitor (non-practising)

Written & reviewed by

Brad Askew Solicitor (non-practising)

Brad is on the roll of solicitors of England & Wales but does not hold a practising certificate and does not provide legal advice. LegalDocuments.co.uk is not a law firm and does not provide regulated legal advice.

Full profile →SRA register ↗
Legal disclaimer
This article is for general information only. It is a tool to help you find your way — not legal advice, and not a substitute for speaking to a qualified adviser about your situation.