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Facilitating home businesses

Comment 19th July 2010

The deeds of most modern residential properties include a restrictive covenant prohibiting the running of a business. The thinking behind this was that running most businesses causes noise, and involved commercial vehicles or lots of visitors, but in the digital age this is no longer the case (and the covenants are often ignored.)

My solicitor tells me it's almost impossible to remove such a clause as you have to get agreement from the original builder and everybody else on the development. My suggestion is that the requirement for such agreement should be legally restricted to only those properties that are directly affected: in many cases just the immediate neighbours.

In our own case we have a second home (holiday home) which we would like to run as a commercial holiday let, but cannot due to a restrictive covenant.




Why does this matter?

Would remove an obstacle to people setting up small home businesses.

Would also increase the supply of holiday accommodation in the UK, helping to encourage people to holiday here and hence reduce carbon emissions.

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