The Mirror reports that in the UK, nearly 23,000 pubs, restaurants, and hotels closed since the pandemic. Of these, some 22,000 were licensed premises. This is a matter of considerable concern to the Hospitality industry. Conversely nearly 12,000 establishments have opened. This highlights the need for action. UKHospitality, the industry trade body, is calling for a 3% cap on business rate rises. It also proposes a reduction in VAT to a 12.5% rate to support struggling businesses. Chief Kate Nicholls emphasised the impact of price rises and tax burdens on companies in the hospitality businesses. She says that many of them are on the “cliff-edge.” The British Beer and Pub Association have suggested that, in their view, a 5% beer duty cut could potentially not only halt further business closures. It would create an additional 3,000 jobs.
If you are in the hospitality industry and are experiencing cashflow problems then call us at Business Finance Services. Simply phone 0800 093 5240 for a free consultation on the options available to your business. Alternatively follow this link to our web site and complete the enquiry form and we will get back to you.