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Hospitality

Last years "Eat Out to Help Out"  support from Government to hospitality helped but recent lockdowns have further impacted the sector with many businesses incurring heavy losses.

 

There is continued Government support for this sector in the form of a cut to VAT from 20% to 5% until end of September 2021 followed by a 12.5% rate for a further 6 months until 31st March 2022. 

 

The Government schemes to date have helped protect an estimated £1.8 million chefs, waiters and restaurateurs but as 2020 ended and further restrictions were introduced the hard reality of the underlying core of 'Next Normal' trading became evident. 

As a consequence The Government have extended the Furlough Scheme to 31st September 2021  for businesses forced to close due to CoVid-19 Lockdowns.

Government support continues for the hospitality sector into 2021...

  •       Additional Government Restart Cash grants available up to £18,000 per property

  • ·         Recovery​ Loan Scheme – Launched 6th April 2021 Loans up to £10m 

  •        Furlough: The Government will continue to pay 80% of the employees wages for hours not            worked capped at £2.5K per month, reducing in July 2021 to 70%, the in August &                        September to 60% with the employer making the balance from July in order the employee            receives 80% of their wages for hours not worked. 

  •  Cut to VAT from 20% to 5% until end September 2021, followed by 12.5% rate for a further 6  months until March 2022.

     

  • Business Rates Holiday - you will not have to pay business rates for the 2020-2021 tax year.

  • Coronavirus Business Interruption Loan Scheme (CBILS) - open for applications ENDED on the 31st March 2021 (up to £5m).

  •  Coronavirus Bounce Back Loan -  You can borrow between £2,000 and £50,000. Applications  ENDED on 31st March 2021.

  • Support for businesses paying Tax - 'Time To Pay Service' - you can apply to HMRC for a Time to Pay facility.

  • 'Kick Start Scheme' - Grant Funding - aimed at providing employment for 16 - 24 year olds. 

  • Grants available from your Local Council. Local councils all have different allocations. 

 

Theatres continue to struggle the most due to the need to maintain social distancing and get enough theatre goers on seats to make a show economically viable. A number of theatres are selling virtual seats which can be watched online. 

 

Prompt, has worked with hotel groups and understand the complexity of occupancy rates, return per occupant and pricing through referral online portals.