Commercial lease index-linked rent review
Calculate an uncapped two-way index review expressly provided for by a business lease. Across all four nations use the same published series and the base and review observations specified by the lease. Excludes upward-only clauses, collars, caps, open-market valuations, renewal and VAT.
Worked example
£12,000 annual base rent × 126 ÷ 120 gives £12,600 annually, or £1,050 monthly.
A falling index can reduce the rent in this scenario. Check the review date, the index lag and any lease-specific rounding. ONS consumer price indices
The English Devolution and Community Empowerment Act 2026 addresses upward-only review terms in England and Wales. The model here allows a downward review and excludes enforcement of floors and all renewal-option cases, including arrangements from 17 March 2026. Scotland and Northern Ireland are outside those England and Wales provisions. Act explanatory notes on commercial rent reviews
The commencement annotation for section 100 records Royal Assent on 29 April 2026 for specified purposes. Section 108 distinguishes the power to make regulations from substantive commencement. No operative England and Wales ban date was identified in that annotation on 12 November 2026. The calculation therefore makes no decision about the validity of an upward-only provision. Section 100 commencement information · Section 108.
