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Rishi Sunak Offers £1 Billion Rescue Package to Hospitality Sector

by Toby Young
21 December 2021 6:00 PM

Pubs, restaurants and leisure businesses hit by omicron losses will be eligible for one-off grants of up to £6,000 in a £1 billion Christmas aid package announced by Rishi Sunak earlier today. Hospitality bosses say it’s too little, too late. The Telegraph has more.

The Chancellor said some 200,000 hospitality and leisure businesses would benefit from the grants to compensate for an average 40 per cent fall in revenue from the Government’s ‘Plan B’ restrictions in the run-up to Christmas.

The cash awards will vary according to the size of the business with those with a rateable value of more than £51,000 eligible for the full £6,000, those between £15,000 and £51,000 being offered £4,000 and smaller operations getting £2,666.

There will also be £100 million discretionary funding to be distributed by councils to other businesses hit by Covid restrictions this festive season.

The Government will also reintroduce its scheme to cover the cost of statutory sick pay for Covid-related absences for small and medium-sized employers across the U.K.

However, the package is unlikely to satisfy hospitality and leisure chiefs who have been hit by cancellations and face further uncertainty. The Prime Minister on Monday refused to rule out further restrictions, including a possible return of a ban on indoor drinking and eating.

Worth reading in full.

Tags: FurloughHospitality

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