Lack of support for tier 1 and 2 businesses

Hospitality businesses in tiers 1 and 2 have a lack of support, despite facing restrictions including the 10pm curfew, UK Hospitality has warned.

UK Hospitality Chief Executive Kate Nicholls warned  ”we are quickly reaching the point of no return for many businesses”. 

She said: “For those businesses in tier 3 areas, forced to close their doors again, things look bleak but the support announced last week for closed businesses will hopefully give them the breathing room they need to survive another lockdown.

“There is currently a concerning lack of support on offer for hospitality businesses in tier 2, and to a lesser extent tier 1, despite their facing restrictions that is seeing trade down by between 40% to 60%. They will have the worst of both worlds, operating under significant restrictions without the financial support on offer to tier 3 businesses. Without enhanced grant support and enhanced Government contributions to the Job Support Scheme, many are going to fall by the wayside.

“It is time for the Government, at the very least, to rethink the mandatory 10pm curfew in those areas where COVID rates are low. It was imposed without credible evidence that hospitality is the source of increases in transmission, while some evidence points the other way. To leave hospitality out to dry would be a grave and risky move and would cost many people their jobs.”

The British Beer & Pub Association (BBPA) meanwhile said that measures which single out pubs and bars are wrong.

It has called for an evidence-based, proportionate response to the virus – citing latest PHE figures released on Friday 9 October showing that pubs and hospitality venues are not major sources of covid-19 infections – representing just 3% of total transmissions.

Considering the announcement today, it says a stronger financial package of support will be needed.

Emma McClarkin, CEO of the BBPA, said: “Singling out pubs for closure and further restrictions is simply the wrong decision and grossly unfair.

“It’s why we are calling for a proportionate response to the virus based on tangible transmission evidence.

“Local lockdowns that close pubs will devastate our sector and the communities it serves. And most pubs will struggle to sustain viable business under tier two with their trade being so heavily impacted. Thousands of local pubs and jobs will be lost for good.”