Retail tenancy rules are under review: what WA salon tenants should submit

Abby's take

What this means for the industry — and for independents

Industry impact. Premises are one of the largest and longest commitments for many salon businesses. Differences between state and territory retail-tenancy rules can add legal cost and uncertainty, so any future alignment could affect how disclosures, rent reviews, outgoings, transfers and disputes are handled.

For freelancers. A freelancer renting a chair is not automatically a retail tenant, but the head lease can still shape access, operating cost and stability inside the salon. Operators considering their own premises should understand that a commercial lease creates a different risk profile from a flexible workspace agreement.

What I'd do next

• Identify one or two real lease processes that created unnecessary cost, delay or uncertainty and collect the relevant clause, disclosure or correspondence.
• Separate a problem with an individual negotiation from a problem caused by inconsistent or unclear regulation across jurisdictions.
• Quantify the practical effect where possible, including professional fees, waiting time, duplicated documents, delayed fit-out or uncertainty about outgoings.
• Submit evidence through Treasury's consultation hub before 12 October 2026 and keep following the current WA rules and signed lease.

Watch-out. This is general business information, not legal or leasing advice. The consultation has not changed current WA law. Retail-tenancy coverage and rights depend on the premises, use, agreement and circumstances, so obtain advice for a specific lease.

What is happening and when

The Australian Treasury consultation titled Harmonising retail tenancies across Australia is open until Monday 12 October 2026. The federal government is working with states and territories to explore whether greater consistency could reduce compliance costs, improve transparency and make retail-leasing obligations easier to understand.

Treasury is seeking views from small businesses, franchisees, landlords, property owners, advisers, regulators and industry bodies. The consultation does not assume every state rule should become identical; it asks where alignment may help and where local differences should remain.

The lease issues Treasury wants evidence about

The government's 31 August 2026 announcement identifies disclosure requirements, rent reviews, outgoings, lease transfers, dispute resolution and enforcement as areas within the review. Those are operational issues for a salon because they affect the real occupancy cost, the ability to exit or transfer and how quickly a disagreement can be resolved.

Treasury asks which differences create cost, delay or uncertainty, whether greater consistency would improve understanding, how change could affect tenants and landlords, and what implementation risks should be considered. A focused business example can answer those questions better than a general complaint.

Why this matters to WA salon operators

WA Consumer Protection says hairdressing is a specified business under the state's retail-shop tenancy framework. It also notes that the Commercial Tenancy (Retail Shops) Agreements Act generally covers eligible premises of 1,000 square metres or less, subject to the definitions and exclusions. Coverage should still be checked for the actual premises and agreement.

Existing WA protections and procedures do not disappear while the consultation runs. A tenant should continue to meet current lease obligations, use present dispute pathways and obtain advice before relying on a right or deadline. The review is an opportunity to shape future policy, not permission to ignore today's contract.

Compare the approvals attached to a home-based alternative

Turn a lease problem into usable evidence

Start with a specific event: a disclosure arrived too late to assess the deal, an outgoing was difficult to verify, a rent-review method was unclear, a transfer took longer than expected or a dispute pathway was disproportionate to the amount involved. Record what happened, the rule or process involved and the practical consequence.

Then explain what clearer or more consistent regulation could have changed. Include the cost of advice, duplicated work, delay to opening, effect on fit-out decisions or inability to compare premises. Remove client information and confidential material you are not authorised to publish.

• What document, rule or process caused the uncertainty?
• At what point in the negotiation or tenancy did the issue appear?
• How much time, money or operational delay did it create?
• Would a standard form, clearer timing rule or consistent definition have helped?
• Could the proposed change create a new cost or unintended problem for either party?

Separate rent pressure from regulatory friction

High rent, a difficult landlord or an unattractive deal is not automatically evidence that regulations differ unnecessarily. A stronger submission distinguishes the commercial bargain from the rule governing how information is disclosed, a review is conducted, an outgoing is explained or a dispute is escalated.

If the issue is mainly the economics of the premises, use a separate occupancy model. Include base rent, outgoings, GST, fit-out, make-good, legal fees, utilities, insurance, finance costs and the revenue lost during setup. That calculation informs the lease decision even if no reform follows.

Compare rent-a-chair with owning a salon operation · Pressure-test the revenue requirement

What chair renters should understand

A chair-rental or workspace agreement can be legally and commercially different from the salon operator's premises lease. Do not assume that rules applying to the head tenant automatically give a chair renter the same rights against the property owner.

The head lease can still matter indirectly. Restrictions on use, access hours, signage, assignment, subletting or alterations may affect what the host can offer. Before relying on a long-term workspace promise, ask the host to confirm that the arrangement is compatible with the premises and that the term offered does not exceed the stability they can support.

Check the chair-rental agreement separately

Submit carefully and keep running the current lease

Treasury's consultation page asks respondents to review the supporting material and submission guidance. Prepare a concise document with the problem, evidence, impact, proposed improvement and possible trade-offs. Check whether the submission will be public and remove material that should remain confidential.

After submitting, keep a separate action list for the current business. Review option dates, disclosure and notice deadlines, rent-review timing, outgoings, insurance, guarantees and fit-out or make-good obligations with an appropriate adviser. Policy consultation is useful, but it does not pause contractual dates.

Common questions