Over 50% Hospitality Businesses expected to Fail without Government Help

The new government restrictions and curfew have been made without consulting the hospitality industry and have now been predicted to sound the death knell for thousands of businesses and ensure the loss of 750,000 jobs throughout the UK.

The latest government COVID-19 restrictions and the 10pm curfew are decimating the UK hospitality scene, which is responsible for over three million jobs. It is now predicted that the total business failure within the sector by the end of 2020 is one in four businesses and that 750,000 jobs will be lost without government assistance [Source: CGA survey commissioned by UKHospitality, the British Institute of Innkeeping and the British Beer & Pub Association]. The survey also shows that 76% of hospitality businesses are now making a loss and over 50% are expected to fail before the end of March 2021. That’s simply horrifying.

Hospo Demo image

Many hospitality professionals took to Parliament Square this morning for the Hospo Demo to peacefully demonstrate against the new measures and call for the government to listen and help #SaveHospitality by providing more support for the sector.

London’s Mayor, Sadiq Khan, voiced his support for those protesting at today’s Hospo Demo and is also calling for the government to provide “[o]ur bars, restaurants and other venues [with…] the extra financial support they need urgently to stay afloat.

“The 80% furlough scheme was a lifeline for many businesses at the start of the pandemic, and it is this level of support London’s hospitality sector now needs to prevent further widespread unemployment and ensure this world-leading sector can return to business when the virus is under control. Until the government gets a grip on this virus, ministers have an obligation to give businesses the support they need to survive while restrictions remain in place.”

Closed due to COVID sign

The government needs to provide support for the hundreds of thousands of hospitality workers and businesses who are teetering on the brink, especially as winter approaches and socially distanced outdoor seated areas become unusable.

There is also a petition calling for the “Create a Minister for Hospitality in the UK Government” that has so far garnered 29,445 signatures. It states,

“The UK hospitality industry. Responsible for around 3m jobs, generating £130bn in activity, resulting in £38bn in taxation. Yet, unlike the Arts or Sports, we do not have a dedicated Minister. We are asking that a Minister for Hospitality be created for the current, and successive governments.”