First Minister must act now for the sake of Wales’ hospitality industry

Press Releases 9 Jul 2020

FSB Wales calls on First Minister to reopen indoor hospitality firms in next review

Ahead of the Welsh Government cabinet meeting this afternoon (Thursday), FSB Wales has urged the First Minister to commit to reopening indoor hospitality businesses in order to help protect the industry that continues to suffer serious effects of the pandemic.

Ben Francis, FSB Wales Policy Chair, said:

“We’ve reached the point at which Welsh Government must act. Indoor hospitality businesses have been closed since mid-March, many without any means of income within that time. The summer would usually be a time when these businesses would be able to do the majority of their trading for the year, and the season is fast slipping away.

“UK Government’s announcement of the ‘Eat Out to Help Out’ scheme which will run throughout August will pass Welsh hospitality firms by if the First Minister doesn’t make a prompt decision on reopening these businesses. This scheme is designed to kick-start the hospitality sector, and we must ensure that Welsh businesses are able to be a part of this.

“Furthermore, businesses will need to be in a position to contribute to the furlough scheme from August onwards, and if there is not a significant announcement from the First Minister tomorrow then small firms will be faced with a furlough bill as soon as they open the doors. For two months, FSB Wales has been making the case that there is a lead-in time for a business to be up and running for long enough to be able to contribute to the scheme, but as yet, we’ve seen no movement from Welsh Government. As a result, we now must move as quickly as possible to get indoor hospitality firms up and running safely and sustainably. We should be in no doubt that the livelihoods of thousands of business owners and their employees are at stake”

Michele Abdou, of Pant-y-Gwydr restaurant, Swansea, said:

“It’s been a difficult time for us - we’ve lost 95% of our revenue since early March. 

“We’ve contributed by cooking for the NHS, but we won’t survive in the long run unless we are able to re-open. 

“Small businesses such as ours have borne the brunt of the economic shutdown but we can’t singlehandedly finance the lockdown for an indefinite period. 

“We need the possibility to trade or support to help us to pay our costs.”