Deliveroo and restaurant CEOs warn of grave damage ahead

Deliveroo has teamed up with a host of restaurant CEOs including Itsu Founder and CEO Julian Metcalfe, Pret CEO Pano Christou, Wagamama CEO Emma Woods, and Neil Manhas, GM of Pizza Hut, to urge the government to provide an increased level of support for the industry.

It has sent a letter to the PM, signed by 90 CEOs representing over 1,000 restaurants, to call for action over issues including cutting VAT on restaurant food and extending the JRS for restaurants while social distancing measures remain in place.

The letter warns that unless the government does come up with new support measures and policies,

the “shuttered restaurants in towns and cities across the country will be a permanent reminder of the damage this pandemic has done”.

It goes on to warn that “thousands of restaurants are facing bankruptcy due to the coronavirus and that existing social distancing measures, combined with a challenging economic environment and changed consumer behaviour, will make it incredibly difficult for restaurants to reopen, let alone break even”.

Deliveroo CEO and Founder Will Shu, said: “We are proud to be part of the UK’s restaurant sector, which contributes so much to the UK economy and local communities and is one of the most diverse and vibrant in the world.

“That is why we are urging the Government to implement this package of measures to ensure that the UK’s amazing restaurant industry survives and then thrives.”

Kate Nicholls, CEO of UKHospitality, said “household name brands on every high street have been closed and many will be operating at well below capacity once lockdown ends.

“These businesses provide employment and are great social hubs in every region. As these proposals from Deliveroo and their partner restaurants show, restaurants need urgent support from the Government so that they can help rebuild economies and give people some much-needed enjoyment. Without it, some will close permanently and people’s jobs will be lost.”

The rapidly expanding German Doner Kebab CEO Imran Sayeed added it was “critical that businesses in this industry receive the right support to survive through this period.

“German Doner Kebab is backing Deliveroo’s six step initiative in support of the UK’s hospitality industry. The recommended steps in this initiative are a necessity for businesses to cope with the huge pressures the restaurant industry is experiencing.

“Adopting these measures in full will help protect jobs and the economy. The UK hospitality sector employs millions of people across the country and without help some restaurants may never be able to open their doors again.

“Although the Government has provided significant support through lockdown, more still needs to be done to protect the future of the hospitality sector which is not only an integral part of the country’s cultural identity but will also play a key role in the UK’s economic recovery.”