Scottish restaurants and pubs are being “caught in the middle of political problems” amid swathes of Covid-related cancellations, a Dundee business leader has claimed.
Alison Henderson, head of Dundee and Angus Chamber of Commerce, says businesses are being left in the dark with little financial help while customers are being told to cancel bookings by the Scottish Government.
Speaking on the BBC’s Good Morning Scotland radio show, Ms Henderson said the hospitality industry simply needs clarity on where help is coming from and when.
“I think it’s really difficult — we’re all caught in the middle of political problems,” she said.
“I think that doesn’t really help any of us.
“We do, as the public, want to be safe and businesses want to make sure their businesses are safe too.
“But they can’t give refunds when there is no financial compensation, or a way to outlie some of it, such as tax reductions.
“It has to be really, really, quick because businesses have to know how their cash flow is going to work in December and January.
“There are wages to pay at the end of the month — it’s just devastating for businesses.”
Christmas parties cancelled amid Omicron fears
Businesses across the country have been hit by a swathe of cancellations this month after Nicola Sturgeon asked people to limit social contact amid rising Omicron Covid cases.
Scots have been told to “defer” Christmas parties until after the festive period to protect the NHS.
The UK has recorded its highest rate of cases since the start of the pandemic for two days in-a-row.
Scottish health boards confirmed 4,336 new cases of Covid-19 today [Friday], Nicola Sturgeon confirmed in an update.
Ms Sturgeon also confirmed 522 are currently being treated for the virus in hospital, down 10 on the previous day.
The latest data also showed a further seven deaths, taking the death toll to 9,771.
December crucial for businesses
Ms Henderson says the Christmas period often tides business owners over for a chunk of the year and taking away customers now is the worst timing possible.
“They know absolutely nothing”, she said.
“As consumers, we’ve been asked to be safe, and that’s caused a slew of cancellations.
Was up for an early chat with @Fionasstalker this morning for BBC GMS.
Businesses are under severe strain caused by guidance to the public but not legal restrictions. We urgently need the promised financial support to get to those hardest hit. @DundeeAndAngus pic.twitter.com/xlG3oG72TQ
— Alison Henderson (@alisonhendo) December 17, 2021
“And yet businesses have got no idea how they’re going to pay their people or fund all of the stock they’re got sitting.
“Let’s not forget, December can bring in up to a third of a business’ turnover from the year — it’s important.”
‘Amazing’ public support for restaurants
Finance Secretary Kate Forbes meanwhile has renewed calls for the UK Government to provide additional funding to help keep Scotland’s business sector open.
Discussions are ongoing between Holyrood and Westminster to secure about £500 million in additional funding to help sustain the local economy.
Ms Henderson said, over and above anything, businesses need “certainty” to survive and to know where the financial support is coming from.
She added the public have been “amazing” in their response to the situation.
She said: “I’ve seen so many updates where people are saying ‘keep my money, when we come in the new year, then we can spend it’.
“But for every one of those, there is someone else, rightly so, asking for their deposit back; it’s very, very difficult.”
