Britain’s hospitality venues face losing £8billion over the Christmas season amid new Covid-19 restrictions with pubs and restaurants facing mass cancellations under Plan B, and concerns that measures could be ‘catastrophic’.
Boris Johnson, in response the rapid growth of Omicron, announced yesterday that they would adopt a set of rules to help them work remotely and allow domestic Covid passports entry to certain venues.
However, those working in hospitality and the events sector said that it was likely to be “the last nail in the coffin of many small businesses” and that their companies were only just trying to get on the right track after successive lockdowns.
One restaurant owner in London said he had now lost three out of four Christmas party bookings for large firms next week costing him £42,000 and that the situation in the UK was a ‘national embarrassment’. This is:
- UKHospitality stated that the changes could have a significant impact on Christmas revenue at restaurants and pubs by as much as 40%
- Union chiefs called for the return to a furlough plan in order to aid those who are going through the WFH switch.
- Managers in the nightlife industry criticized the move to mandate the NHS Covid Pass for all nightclubs.
- According to a West End business group, the renewal of the ‘work at home’ order is causing retailers’severe pain’.
After users reported problems downloading their pass or seeing a loading screen, there are fears venues may not be able to use the NHS app correctly to display vaccine passports.
Andy Jones, the owner of Jones and Sons Restaurants in Dalston, East London, told Sky News he had now lost three out of four Christmas party bookings for large firms next week costing him £42,000 and that the situation is a ‘national embarrassment’
Denise Yeats from London, the director of Denise Yeats Creative Event Production said, ‘To say my heart has sunk would be an understatement. Paul Asbridge, founder of Jam Hot (right), a West Midlands-based entertainment company, stated: “Let’s pray we’re Boris’ entertainment, since all the events in our calendar are dropping like flies.
While one message indicated that there was an unexpected error, another said users to try again later. Accessing Covid Pass via the NHS App and Website is currently not possible. This issue is currently being investigated.
You can get the NHS Covid pass by taking two shots or passing a negative lateral flow exam. This will allow you to enter large nightclubs starting next Wednesday, December 15.
Kate Nicholls of UKHospitality stated that the government has acknowledged the safety and ability to continue hosting Christmas celebrations. However, today’s announcements will have a significant impact on consumer confidence, and could be especially devastating for city- and town center venues.
“They could decimate the hospitality sector during its most critical time of the year. If we want to survive the latest restrictions, we need help. We urge government to support our industry. This includes full business rate relief, grants and rent protection, as well as extended VAT cuts. It would be a disaster if you did not do this.
Ms Nicholls said the new restrictions could hit revenues at pubs and restaurants by up to 40 per cent over Christmas, telling the Daily Telegraph that the hospitality industry normally makes about a quarter of its £100billion annual revenues in December alone.
Following yesterday’s announcement on Downing Street, Rishi Sunak and the Prime Minister have been asked to increase support for business.
Union leaders have demanded the reinstatement a furlough plan to aid office cleaners and hospitality staff who are likely to be hurt by commuters not going to their offices.
Michael Kill is the Night Time Industries Association’s chief executive. He criticized the move to make the NHS Covid mandatory in England for clubs and other venues that host large numbers.
He stated that Plan B’s government announcement today was devastating for the nightlife industry.
Night Time Economy companies are affected by ‘Vaccine Passports. This is evident in Scotland and Wales. There, trade has dropped 30%.
‘The UK Government twice ruled out Vaccine passports before twice changing its mind. These mixed messages from the Government this week about public health have reached us at the most critical time for our industry – just before Christmas. Now it has been announced that damaging Vaccine Passports will be in place.
The Prime Minister is not saving Christmas. He has instead given businesses more pain as they try to recover losses suffered earlier during the pandemic. It is even worse that the Prime Minister has given businesses only one week to implement such a drastic change in their business model.
The Government released a June report that concluded the negative effects of vaccine passports on public health outweighed their benefits. They also recommended they be used to discourage attendees from going to venues.
According to Mr Kill, the report was cited. Do you think this is evidence-based, sound public policy or a ploy to get the media attention away from negative stories about the Downing St Christmas party.
“It seems that the Prime Minister has thrown nightclubs under the bus in order to save himself his skin.”
Andy Jones, owner of Jones and Sons Restaurants, Dalston East London said to Sky News that he had booked four nights for large corporations next week. Each party can accommodate more than 120 people. There is one left.
‘Now on a monetary value, I worked it out this morning, it’s about £42,000 and that’s just in one venue in one week.
Eddie Young, a magician from Burton upon Trent’s Misterey Entertainment said that the nightmares were starting again. Already I have started to see cancellations. Many small businesses will find this the end of their lives. Jo Ferreday, of Sheer Edge, a Market Harborough-based events and hospitality company (right), said: “The bulk of my income comes from live events. The move to Plan B was a huge blow. It is a shadowy year with a lot of uncertainty.
Kate Nicholls is the Head of UKHospitality. She stated: “While the Government acknowledges that hospitality can be continued to celebrate Christmas in the lead up to it, these measures will impact consumer confidence and especially affect city and town center venues.”
“We’re losing tables at the restaurant hand in hand. The last night was very good. People already had plans.
“Scaremongering today” kicks in more, everyone’s reading about Omicron today, everybody’s discussing it today. People are going be making decisions. Companies are making decisions.
These decisions will be made to stay home. They won’t be going into bars, restaurants, or pubs. It’s another Christmas we rely upon in hospitality, which is completely decimated due to the inability of one man to adhere to his own rules.
It’s an embarrassment. It’s a shame that we aren’t leading from the front.
According to Mr Johnson’s plans, obligatory mask wearing will become mandatory in indoor public venues, including theatres and places for worship, starting Friday. However, it will not be necessary in bars and restaurants.
Denise Yeats (director of Denise Yeats Creative Event Production in London) was one of the many concerned owners. She said that her heart had sunk.
“As an event specialist, my company was just starting to recover its feet. These new guidelines are likely to increase the insecurity of clients who want events. My business is in peril.
Eddie Young (a magician from Burton upon Trent’s Misterey Entertainment) said: “The nightmares keep coming back.” Already I have started to see cancellations. For many small businesses, this will probably be their final straw.
Paul Asbridge (founder of Jam Hot West Midlands music entertainment company) said that he hopes to be the entertainment Boris chooses for the No.10 Christmas party because the rest of our events are falling like flies.
Jo Ferreday, a Market Harborough-based events and hospitality company Sheer Edge, said that a lot of his income comes from live events. The move to Plan B was a huge blow because there is no way of knowing how much time these restrictions would be in effect. It is surrounded by uncertainty.
On Monday, guidance to work remotely where it is possible will be returned.
Frances O’Grady, general secretary Trades Union Congress said that requiring people to work at home during the Christmas rush will hurt jobs – unless ministers reinstate furlough.
If people do not come to work, it will result in a shortage of jobs for ‘Cleaners and receptionists’, hospitality, retail, and conference staff.
“Ministers need to reassure people in the hard-hit travel, leisure, and hospitality sectors that their livelihoods remain secure.”
For future emergencies, she suggested that a temporary working arrangement be established for short periods and that the broken sick-pay system be repaired to allow people to be self-isolated.
According to CBI, the Confederation of British Industry (CBI), firms want consistency and a promise of ongoing free Covid-19 testing.
Matthew Fell is the chief policy director of CBI. He stated that “Fresh restrictions can be a setback for business, especially for hospitality and retail, who are in critical trading periods, along with others like transport.”
“Covid certification is a great way to support public health. However, businesses will need to be vigilant about their implementation and enforce the law.
“It’s vital that we closely monitor the effects of these restrictions and that the government provides targeted support, as needed.”
Jace Tyrell is the chief executive officer of The New West End Company in London. He stated: “While safety and well-being of customers and employees remains our highest priority, we support the wearing of mandatory masks in shops and fully endorse the use of compulsory masks in shops. However, this year’s renewed order to ‘work at home’ during peak trading periods of the year has been a major blow to our leisure and retail tenants.
Yesterday, Prime Minister Boris Johnson held a press conference at Downing Street to announce Plan B.
“Many companies have invested time and money to their Christmas plans to cover last year’s losses. This is a vital investment they will not be able to recover.
Johnson faced questions during the conference about allegations that Downing Street staff had broken Covid rules last Christmas.
Greg Parmley (CEO of LIVE), chief executive of the music industry trade organization, stated that new rules would have an disproportionate effect on the sector.
He stated that Plan B’s introduction is an unjust double standard. It allows for people to enjoy all-day pub crawls at crowded bars, without needing to show their Covid-19 status. Meanwhile, certifications are given to live music venues.
“Music venues across the country have already put in place tried-and-true systems to make sure that live events are safe.
“However, it’s important that after such a long closure during the pandemic, the industry can remain open. The Government has listened to industry concerns and added lateral flow testing to Covid certification.
Music Venue Trust is a group that works to preserve grassroots spaces and lauded the government’s inclusion of negative lateral flow testing among its accepted certifications.
Mark Davyd, chief executive said that while this was a setback in our fight against the virus it is a positive step forward. However, the government has adopted a Covid Pass policy to recognise testing and has taken heed of the concerns expressed by grassroots music venues.
The #TakeaTest policy of MVT has proven to be extremely successful in keeping infection rates down in grassroots venues. This is why we are pleased that it has been included in this policy.
Jon Morgan is the Theatres Trust director. He said the Government’s guidance on working remotely will impact the theatre sector as it approaches Christmas.
According to him, “The new home-based work advice is understandable given rising Covid-19 and Omicron cases. However it will have an impact on people’s willingness to travel and see theatres during Christmas.”
“This will impact theatre viability during a crucial time of the year for the sector and Christmas shows just emerging from the substantial loss in revenue in 2020/early 2021.
“Theatres have implemented fully-risk assessed precautions in order to make sure their audience and productions are safe. While we expect that promising trends will continue over the autumn and into the winter, new guidance from at home could put this at risk.
“We are hopeful that the Culture Recovery Fund funds will be available quickly to assist theatres during this challenging period.”
Spokesman for Treasury said that they were taking action as per the Winter Plan. They are doing so early in order to stop the spread of the virus.
‘Our £400billion Covid support package will continue to help businesses into spring next year and we will continue to respond proportionately to the changing path of the virus, as we have done since the start of the pandemic.’