Thank you for contacting me about support for hospitality businesses and the Westminster Hall debate that took place on Monday 11 January 2021. Whilst I applied to speak in the debate, due to Covid restrictions the numbers allowed to speak are minimal and I was not selected in the shuffle.
Prior to Christmas, I launched a survey aimed at those working in the hospitality sector and I was pleased to be able to share the findings of this survey and some asks as a result of it, in a letter I sent to the Chancellor last week.
You can find a copy of the letter I sent to those residents and businesses that completed the survey on my Facebook page and website. https://www.anthonymangnall.co.uk/news/tourism-hospitality-survey-findings
This letter also outlines what I have asked the Chancellor to consider.
I am pleased the Minister recognised the importance of the hospitality sector as hospitality businesses are often at the heart of communities, providing jobs and places to enjoy companionship and supporting mental health and wellbeing, social cohesion and cultural integration.
I know that many hospitality businesses in the Totnes constituency are experiencing serious challenges as a result of the Covid-19 outbreak and I sympathise with any employee who may be facing redundancy during this difficult time.
The new variant and announcement of new restrictions across England will no doubt have come as a blow to many hospitality businesses, including pubs, restaurants and cafes.
Under these new restrictions, all hospitality venues are required to close in England, including cafes, restaurants, pubs, bars and social clubs, with the exception of providing food and non-alcoholic drinks for takeaway (until 11pm), click-and-collect and drive-through. If a business offers delivery, they may continue to provide all food and drink via delivery, including alcohol.
To help support hospitality businesses through this difficult time, I welcome that decisive action has been taken and businesses have benefited from a combination of grants, funds, Government-backed loans and a business rates holiday. This has included business interruption loans, bounce back loans and the Coronavirus Job Retention Scheme (CJRS) which has supported 1.4 million hospitality jobs. I am pleased the CJRS has been extended until the end of April 2021.
Eligible closed hospitality businesses may receive grants of up to £3,000 per month. Furthermore, in light of the England-wide restrictions, the Chancellor has announced additional grants for closed businesses in the retail, hospitality and leisure sector of up to £9,000.
In addition, the temporary reduction in VAT (5 per cent from 20 per cent) for hospitality and tourism businesses, which I led the campaign for, has been extended until 31 March 2021. I am aware that some hospitality businesses have called for the business rates holiday and the temporary reduction in VAT for hospitality and tourism businesses to be extended and I am fully in support of this call.
As there continues to be a high number of cases in parts of the country, different restrictions need to be in place to reduce coronavirus transmission and protect lives. Evidence indicates that the risk present in pubs and bars is higher than many other indoor settings, as people tend to be in close to one another for a long time without face coverings. People also speak louder, generating more aerosols in sometimes poorly ventilated venues.
I know that the Chancellor is keeping the situation under close review to ensure that the most effective support can be made available when necessary. Likewise, the restrictions in place and will be kept under regular review and I will continue to follow any developments closely.