25th June 2020A step in the right direction for hospitality but more to do
Russell Nathan, senior partner at top accountancy firm HW Fisher comments on the recent hospitality news:
“Our restaurants, pubs, bars and hotels are struggling. Health comes first, but the lack of a clear action plan from Government is a concern. Many in the hospitality industry will welcome today’s announcements. It’s been a long time coming and if this step had not been taken, we would have seen a huge number of immediate redundancies.
“It is vital we see the hospitality industry back up and running, as it has a huge part to play in the economic recovery of the country. This is a step in the right direction, but there is more to do. Government must consider additional measures to help the save the UK hospitality industry.
- Introduce a grant for two quarters rent for struggling businesses. Landlords should also be encouraged to defer rent from March to June and going forwards, look to accept repayment as a percentage of turnover.
- VAT should be reduced for the hospitality sector from 20% to 10% for a minimum of 2 years.
- Encourage businesses to diversify by passing The Business and Planning Bill. It is vital that when restaurants and pubs are allowed to reopen they can have the flexibility to expand their offering as much as possible to help them capitalise on the summer months.”