Expert Insight
Scottish Business Support Welcome, but Action Still Needed to Sustain Jobs
UKHospitality in Scotland has welcomed the Scottish Government announcement of support to help businesses deal with the impact of Covid-19.
The announcement confirms a package of support including £1.9bn to support businesses, a 12-month business tax relief for properties in hospitality, grants of up to £25,000 for businesses with a rateable value between £18,000 and £51,000 and £10,000 for businesses in small business rates relief and the rural business scheme.
The announcement also confirms a delay to the introduction of a
deposit return scheme and a halt to legislation relating to the tourist tax.
UKHospitality has also repeated its call for the UK Government and devolved bodies to urgently support businesses with salary payments to avoid widespread job losses and disruption to people’s lives.
UKHospitality Executive Director for Scotland Willie Macleod said: “This is a helpful move from the Scottish Government. Replicating the support announced by the Chancellor was the minimum we needed to ensure that Scottish hospitality businesses are not further disadvantaged as they deal
with the crisis. It is also reassuring to see the Scottish Government take the logical step of putting the Tourist Tax on hold. At a time such as this, businesses do not need another cost hurdle for consumers to contend with.
“Just like in other parts of the UK, this support needs to be followed by additional measures to cover wage costs – which we hope the Scottish Government will be pushing for. This needs to happen right away to stop businesses from closing and to keep people in jobs. If we don’t get it, then we are looking at widespread job losses and the potential for business failure.”
UKHospitality Welcomes Government Wage Support Package but Urges Swift Delivery
UKHospitality Chief Executive Kate Nicholls said: “This generous package will support our fantastic staff, is very welcome and additionally gives hope to those who have been laid off. This may have saved up to 1 million jobs, but we need it as soon as possible to ensure we can continue to trade.
“While VAT deferrals preserve some cash, we still face rent payments next week before the support is due to arrive. Banks and landlords need to do more to help us bridge the gap towards this generous Government support.
“Damage is being done now, so we need help now.”
www.venue-insight.com
April 2020
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