Curfew chaos may tradition calling its
MANY pubs could close for good before the end of the year if a second lockdown or tighter restrictions are imposed, industry experts have warned.
Curfews and uncertainty around the future of pub openings is also damaging public confidence, say industry leaders.
The sector has been one of the worst hit by the crisis, as pubs, bars and restaurants were forced to close between March 23 and July 4.
Since then they have only been able to reopen under strict guidelines, including social distancing, but some are still operating at just 20 per cent of capacity.
Now there are fears that the industry may not survive at all without drastic help.
Emma Mcclarkin, chief executive of the British Beer and Pub Association, said: “As a sector we have been hit the longest and hardest, and we are at a delicate stage in our recovery. Pubs have
invested an enormous amount of time and money into restocking and retraining staff to make sure everything is as safe as it can possibly be.
“Any further restrictions, lockdowns or curfews will have a detrimental impact on that recovery, and there are hundreds of thousands of jobs depending on it. We have been gradually building
up public confidence in our pubs. But with each bit of speculation, or change in rules and guidance, confidence is being knocked.
“There is a massive risk that businesses won’t survive into next year. In all, 37 per cent of pubs are still loss-making and many more are struggling to make ends meet. It could be a very
painful and sad final winter for a lot of pubs. The pub is a British institution and at the heart of communities. We need to do everything we can to protect it or society will be poorer without it.”
Venues received support through the furlough scheme, which is due to end next month, and VAT on alcohol was reduced from 20 per cent to
five per cent, a measure that ends in January. However, one in five are still closed.
In the aftermath of the Prime Minister’s announcement of the Rule of Six restrictions, brewer Greene King saw revenues drop to as low as 69 per cent. Chief executive Kate Nicholls believes more must be done. She said: “For many people the Prime Minister’s statement last week was a bucket of cold water. The longer the controls are in place the less viable pubs are.
“We are likely to lose vital community facilities and are going to have to look at jobs as soon as in the next few weeks.”
She urged Chancellor Rishi Sunak to give the hospitality sector a clear signal of support.
Ms Mcclarkin said: “We need to get the message out there that pubs are safe. We need to see support for the industry, continued rate relief, a flexible furlough scheme and a reduction in beer duty. Our mantra is Long Live the Local and we really need to shout that from the rooftops.”
A Treasury spokesperson said: “We’ve supported pubs from the start, protecting millions of jobs through initiatives such as the furlough and Eat Out to Help Out schemes, VAT cuts, business rates holidays and cash grants of up to £25,000.
“We will continue to act to support jobs as we recover from the crisis.”