UKHospitality asked the Government to review evidence in order to lift social distancing before 19 July.UKHospitality asked the Government to review evidence in order to lift social distancing before 19 July.The trade association highlighted the dangers of delays in lifting restrictions, which could lead to further business failures through unsustainable accrued loans and compounding problems in a labor market already difficult.Hospitality businesses will be required to pay business rates again, contribute to furlough salaries costs, and repay VAT starting next week.UKHospitality CEO Kate Nicholls spoke ahead of today's Parliamentary Statement on Reopening. She said that the government should review the support measures it has in place to assist the sector given the delay to Freedom Day. Four weeks delay after 15 months of trading restrictions or no trading is a long time for struggling hospitality businesses as the costs keep rising. We are restricted or even forced to close some businesses during peak trading. This will have a ripple effect throughout the summer.While a temporary extension of the business rates holiday could resolve some commercial concerns, we would still face job-threatening employment costs. Hospitality venues hired new staff after receiving clear and confident assurances that restrictions would be lifted by 21 June. However, this is not possible because those employees can't be furloughed until the furlough eligibility deadline. They find themselves in new positions, with an increasing likelihood of being laid off. This is not the best way to introduce a struggling sector to our workforce and it does little to improve confidence.We cannot lift restrictions until the 19th of July. Given the recent data from Events Research Group, which continues to show low risk associated with events and hospitality, it is necessary to retroactively change the eligibility date. This must be accompanied by a targeted furlough, with no employer contribution, for businesses that are still closed or restricted. These measures would allow newer employees to be retained and protect existing staff, as well as allowing cash-starved businesses to continue providing employment.Daily News Delivery Subscribe to your colleagues and keep up-to-date on the latest trends and news in the Hotel industry. Subscribe2021 Hotel News Resource
