According to various news sources including the BBC, we can see that the current climates are placing particular strains on the hospitality industry, with talks of the industry taking legal action to stop new local lockdowns that could force closures in pubs, restaurants, clubs and various other venues.
The next stage of restrictions being announced this evening (12/10/20) have the potential to cause a massive negative impact, more so than they have already with the hospitality industry taking a huge hit despite adhering to every single rule possible and doing the best they can to keep the public safe.
The following passage has been taken directly from the BBC News website:
Trade body the Night Time Industries Association (NTIA) said there was no evidence that hospitality venues contributed to the spread of Covid-19.
It comes as the government prepares to unveil new restrictions for England.
NTIA boss Michael Kill said the hospitality industry had been left with “no other option”.
“These new measures will have a catastrophic impact on late night businesses and are exacerbated further by an insufficient financial support package presented by the chancellor in an attempt to sustain businesses through this period,” he said.
“This next round of restrictions are hugely disproportionate and unjust, with no scientific rationale or correlation to Public Health England transmission rates, when compared to other key environments.”
In the most infectious areas, pubs, bars and other hospitality and leisure businesses are likely to be forced to close, as has happened in parts of Scotland.
The chancellor has promised to pay two-thirds of workers’ wages if employers have to shut.
But some fear this will not be enough and there could still be an impact on jobs, said Dame Carolyn Fairbairn, director general of business lobby group the CBI.
A 10pm curfew has already been placed in hospitality venues across the country for over two weeks now, however further restrictions could see up to 1 in 5 of English pubs closed temporarily.
The chancellor has since announced the Job Support Scheme designed to protect viable jobs. See the Meeting Industry Associations response to the recently announced scheme:
The Meetings Industry Association has expressed its concerns over the chancellor of the exchequer’s ‘expansion’ of the Job Support Scheme that has been revealed today.
Jane Longhurst, chief executive of the MIA, said: “While we attempt to clarify what Rishi Sunak’s announcement means for the sector, we fear the expansion of the Job Support Scheme, which begins on 1 November, simply won’t be enough to keep the sector afloat over the course of the next six months.
“The chancellor’s announcement far from provides the “reassurance and safety net” that has been intended. The doors of many of the sector’s venues have remained closed since March, as the consistent lack of clarity has diminished all consumer confidence and subsequent bookings. While venues haven’t officially been asked to close again, the Government has certainly blocked its business.
“It’s disappointing that support has solely focused around labour costs. The ignorance surrounding the costs to operate this industry is insulting and deceiving an intention to protect employment. We know it isn’t sustainable for many venues to stay open to serve small meetings of up to 30 people, yet it is only in instances where venues are forced to close that they can utilise today’s support package as a means of survival.
“Surveying the business meetings and events sector last month, we know that labour costs account for 57% of the average venue, so when considering the £206,652.62 average monthly operating costs we must ask where the Chancellor believes the other £88,860 costs can be covered with no revenue coming into the sector. These monthly deficits simply cannot be borne by employers any longer and it is astounding that this continues to be overlooked.
“In June 2019, the Department for Digital, Culture, Media & Sport issued the UK Government’s ‘International Business Events Action Plan’, making reference to the “considerable economic and social benefits” the sector brings to the UK. With government intentions to maintain the UK’s position as a leading European country for hosting business events, conferences and congresses, it remains staggering that the sector has been abandoned so swiftly and left to fend for itself while mass restrictions continue to be enforced against any form of viable operation and subsequent revenue generation.
“We understand the challenges presented to government in attempting to provide support to all industries, but as neighbouring industries and sectors continue to receive tailored packages of support, we ask ourselves why we are yet to be acknowledged, yet to be respected and why we are being left to enter such a state of decay?
“We will be writing to the Chancellor to express our disappointment and continue to spell out the damage that has been and continues to be done. In the spirit of the industry, we won’t be beaten.”