News / coronavirus
Business reaction to roadmap out of lockdown
Boris Johnson has set the country on a “one-way road to freedom” but the horizon is still far away for businesses waiting to reopen.
The British Chambers of Commerce has welcomed the roadmap to recovery that enables companies to plan accordingly but warns the future of thousands of firms and millions of jobs hang by a thread as the impact of the Covid restrictions continues to be felt.
Hospitality businesses are among the worst hit – among the first to close in March 2020, many will have to wait until May 17 at the earliest before they can hope to reopen.
Alex Reilley, the co-founder and chair of the Bristol-based Loungers chain, Tweeted in response to the Prime Minister’s announcement on Monday, saying: “Today was the day Boris Johnson condemned thousands of hospitality businesses to death. Hopes and dreams crushed, livelihoods destroyed and jobs lost.”
He accused the government of seeing the sector as “second class”.
The government’s four-step plan to ease lockdown restrictions will see schools reopen to all pupils from March 8. Outdoor gatherings of either six people or two households will be permitted from March 29, when outdoor sports facilities will reopen.
From April 12, non-essential retail stores, hairdressers, outdoor hospitality and leisure areas, self-contained holiday accommodation and indoor sports facilities are expected to come back into operation.
Indoor hospitality venues and hotels are set to reopen on May 17, when six people or two households will be permitted to meet indoors. All lockdown restrictions could then be lifted by June 21.
The roadmap for unlocking England will be set against four key tests that must be met before restrictions are lifted at each stage.
Commenting on the plan, Business West managing director Phil Smith said many companies will be disappointed.
“It certainly does not give many of them real hope of surviving the next few months – particularly in the hospitality sector where so many restaurants and nightclubs will not be open until June,” said Smith.
“This means that support for hospitality businesses, in particular, will be so important for the chancellor when he presents his budget next Wednesday.
“We must now have a meaningful extension to the furlough scheme, perhaps with some training and re-training commitments included.”
He said he is hopeful the government will stay true to its promise not to “pull the rug out” and give businesses the support they need to survive, including an extension of the business rates holiday.
The CEO of Watershed Clare Reddington took to Twitter to voice reservations about putting a date on lifting all lockdown restrictions, and the potential implications for businesses who plan operations based on this.
“Lots of business will invest money and create business plans that are built on that assumption,” said Reddington.
“That’s resource/capacity that is not in abundance. We’ll stay prudent for now.”
Hoteliers in the city say they have invested in Covid-safe measures and are ready to reopen, yet have to wait until May 17 at the earliest.
“Once again, our plea for hotels to be treated fairly and equally to the likes of non-essential shops has been ignored,” said Raphael Herzog, chair of the Bristol Hoteliers Association.
“We are ready to open now. Since we have to endure this short-term pain for long-term gain, we are looking to Rishi Sunak to ensure hotels get all the support they need, and we would like to hear from him before he delivers his budget next week.”
Herzog added: “We are all hoping for a surge in bookings when restrictions are lifted, as people will be desperate to take a well-earned break and escape from their own four walls. We think staycations are going to be extremely popular later this year.”
Main photo by Joab Smith
Read more: Warning nightclubs face ‘extinction’ without immediate support