Businesses and unions warn of ‘catastrophic’ impact of new Covid restrictions without more state help
Warning of job losses unless furlough returns as prime minister announces plan B
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Your support makes all the difference.Covid plan B measures will cause job losses over Christmas unless the government provides more financial support, Boris Johnson has been warned.
Business groups and unions demanded ministers reintroduce state help including the furlough scheme to help mitigate the financial impact of new public health measures, including mandatory coverings and an order to work from home where possible.
The hospitality industry trade body warned of "catastrophic" results unless ministers bring in further help for the sector, including full business rates relief, grants, rent protection and an extension of the reduction to VAT.
The Night-time Industries Association (NTIA) said clubs and bars had been "thrown under a bus" by the government, accusing ministers of issuing mixed messages on vaccine passports before introducing them "at the worst possible time".
Pubs, bars and restaurants in England had already reported a slow-down in trade and cancellation of Christmas party bookings as fears grow around the rapid spread of the omicron variant, of which scientists say cases are doubling every two or three days.
Bookings in Scotland, where vaccine passports are already in force, are down 30 per cent, according to the NTIA's figures.
"Requiring people to work from home over the busy Christmas period will hit jobs - unless ministers bring back furlough," said Frances O'Grady, the general secretary of the Trades Union Congress.
In a Downing Street press conference on Wednesday evening, the prime minister laid out new measures to slow the spread of omicron which will come into force over the next week.
From Friday it will become mandatory to wear a face mask in indoor public venues including theatres, cinemas and places of worship. Masks will not be mandatory in pubs and restaurants. However, hospitality firms fear that they will be severely impacted by new guidance to work from home wherever possible from Monday.
Vaccine passports will be introduced from 15 December for nightclubs and large venues. Anyone entering will have to have an NHS Covid pass which can be secured by having two vaccines or a negative lateral flow test.
The new curbs came as Mr Johnson faced growing anger about allegations of parties that took place in Downing Street during last year’s lockdowns.
Kate Nicholls, the head of trade body UKHospitality, expressed dismay about the announcement. "While the government clearly acknowledges that hospitality is safe and can continue to host celebrations in the lead up to Christmas, the measures announced today will significantly impact consumer confidence and be particularly devastating to city and town centre venues."
Michael Kill, chief executive of the NTIA, said the announcement of Plan B was "devastating news" for the nightlife industry.
"The UK government has twice ruled out vaccine passports before twice changing their mind. The mixed public health messages this week that have been coming out of the government have arrived at the worst possible time – the pre-Christmas period is absolutely crucial for our sector.
"Far from ‘saving’ Christmas, the prime minister has given our sector the horrible present of more pain for businesses desperately trying to recoup losses from earlier in the pandemic."
Jeremy Joseph, the owner of G-A-Y nightclub, said there has been more "nervousness" about going out in the last couple of weeks.
He told BBC Radio 4's Today programme: "I feel like I'm constantly walking on eggshells and in survival mode."
Mr Joseph said the new restrictions "don't make any sense", pointing out that he has three venues and each venue will have different rules.
"It makes no sense. It's as if this government thinks that Covid will go: 'that venue has a capacity of under 500 so I won't go in there'," he said.
Businessman Sir John Timpson, founder of shoe repair chain Timpson, said fewer customers have been going to the high street in the last 10 days to two weeks.
He told Today: "The change in trade was almost immediate across the country and about a 5 per cent drop in footfall.
"So it's much more of a phycological thing than the actual restrictions themselves, but I would expect that probably the footfall will drop further now that we've had this announcement."
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