Nottingham Hospitality Association (NHA) is calling on the government for urgent action to protect the jobs, businesses and livelihoods which are currently facing impending crisis.
As one of the first sectors to be affected by the coronavirus crisis, seeing a 95% cut in revenues, the hospitality industry is on the edge of a precipice. Businesses are facing a very bleak winter and without considerable support from the Government, many simply won’t make it through.
In an open letter to Chancellor Rishi Sunak, Richard Johal, Chair of NHA and Director of St James Hotel, has requested the extension of the furlough scheme, specifically for the hospitality sector, increased to the 80% level without employer contribution.
Johal said “Preventing the spread of the virus remains our first priority however, the new restrictions are catastrophic for the hospitality sector.
“The restrictions are having a devastating impact leaving businesses without financial support. Unless further support is given, many of these businesses will have no choice but to close for six months and lay off all their staff.”
In the letter, Johal requests for greater consultation with the industry, VAT reduction to be extended until the end of 2021, VAT on alcohol to be reduced to match the levels set for supermarkets, government disruption grants, an extension of the CBILs and bounce back loans and an extension on rates relief to the end of 2021.
Cllr Sam Webster, Nottingham City Council said ““We would echo the sentiments of the Nottingham Hospitality Association and once again call on the Chancellor to urgently provide financial support to those businesses that are most affected by a down turn in trade due to Covid restrictions.
“It is clear that both Tiers 2 and 3 pose an immediate threat to the survival chances of many Nottingham hospitality businesses and those of its associated supply chain. This means that many good businesses and therefore many jobs are on the line right now. It is essential that the Government acts now to protect the jobs of Nottingham people.”
The hospitality industry has invested millions to ensure the safety of its guests and team. Without a radical rethink, hospitality businesses are going to have to make some extremely painful and difficult decisions, and many simply will not survive.
