Small retailers could face greater demands for rental deposits if there was a widespread move to monthly rent payments, one of the most powerful figures in retail property warned this week.

Speaking to Retail Week, British Property Federation president Francis Salway said that if the tradition of payment of rents quarterly in advance was abandoned, landlords would increasingly seek the payment of deposits as a way of securing their income.

"It would be a great shame if a campaign by profitable larger retailers were to have such an unintended consequence for smaller retailers," Salway said.

A group of the largest non-food retailers have joined forces to demand a change to monthly rental payments, and the BRC has also called for landlords to accept monthly payment on both new and existing leases.

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