Budget 2015: government departments to pay market rent
Fri 27th March 2015, 9:48 am
As part of the 2015 budget, Chancellor George Osborne plans for government departments to pay market-level rents for publicly owned buildings.
The government said paying market rents should incentivise departments to vacate expensive central London buildings.
A new agency working under the Government Property Unit will be set up to manage lettings and assets, and should be up and running by March 2017.
The budget states the plans “will help drive better strategic oversight and management of the estate, and provide greater incentives for departments to rationalise the space they occupy."