Spring Budget 2021: Retail and hospitality businesses speak out
43% of UK retail and hospitality businesses want to see the Chancellor, Rishi Sunak, prioritise an extension of coronavirus business loans and grants in the Spring Budget, according to research from Epos Now.
The software and payments technology company surveyed 15,000 of its customers in this space.
It also found that 52% agreed with the timetable for the easing of lockdown restrictions recently announced by the government.
This allows for pubs and restaurants to open for outdoor sales from 12th April and indoor sales from 17th May.
Almost all, however, will require additional support in order to make a success of their business.
When asked what they’d most want the Chancellor to provide in his Budget, in addition to more loans and grants, 24% said they need an extension of the current 5% VAT cut, which is scheduled to end on 31st March.
18% want to see the government continue with furlough arrangements to support jobs in hospitality and retail.
“As our research shows, the so-called ‘restart grants’ mentioned by the Treasury over the weekend would be a much-needed lifeline for retail and hospitality businesses, many of which have been relying on the current monthly grant system to just stay above the water,” says Charlie Wright, Director at Epos Now.
“However, even when these businesses are allowed to re-open, social distancing requirements will mean they simply can’t serve the number of customers they did before.”
He concludes: “Staff wages are the most costly outgoing for most of these businesses, and should they only be able to bring home half of their usual takings, grants must be coupled with other support initiatives including an extension to the furlough scheme during this transitional period.”
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