The sector has been one of the worst hit by the crisis, as pubs, bars and restaurants were forced to close between March 23 and July 4. Since then they have only been able to reopen under strict guidelines, including social distancing, but some are still operating at just 20 percent of capacity. Now there are fears that the industry may not survive at all without drastic help. Emma McClarkin, chief executive of the British Beer and Pub Association, said: “As a sector we have been hit the longest and hardest, and we are at a delicate stage in our recovery.
Pubs have a second national lockdown would be “catastrophic” for the struggling high street because it will further dent consumer confidence, retailers have warned.
Such a move would cause more economic damage by shaving an extra two per cent off GDP, it was said, and ensure this year will see “one of the gloomiest Christmases we’ve had”.
Britain’s economy is already predicted to fall by 10 per cent this year. Campaigners have called for the furlough scheme to be extended to invested an enormous amount of time and money into restocking and retraining staff to make sure everything is as safe as it can possibly be.
“Any further restrictions, lockdowns or curfews will have a detrimental impact on that recovery, and there are hundreds of thousands of jobs depending on it.We have been gradually building help workers in hard-hit sectors that cannot get back to normal.
READ MORE: London curfew: Could pubs and restaurants shut by 10pm?
Andrew Goodacre, of the British Independent Retailers Association, said talk of a second lockdown was having a psychological impact.
He said: “Our footfall is 30 per cent lower than pre-Covid. If we have another lockdown it takes a long time for it to come back.
The threat up public confidence in our pubs. But with each bit of speculation, or change in rules and guidance, confidence is being knocked.
“There is a massive risk that businesses won’t survive into next year. In all, 37 per cent of pubs are still loss-making and many more are strug-gling to make ends meet. It could be a very of a lockdown is almost a bigger threat than a lockdown itself.”
He said many struggling firms “will hold on as long as they can”.
But he warned: “If Christmas does not happen in the way they expect, I think January will be very difficult and that’s when you will see the bulk of closures. A second lockdown painful and sad final winter for a lot of pubs. The pub is a British institution and at the heart of communities. We need to do everything we can to protect it or society will be poorer without it.”
Venues received support through the furlough scheme, which is due to end next month, and VAT on alcohol was reduced from 20 per cent to could be a final straw for them.”
Mr Goodacre urged the Government “to resist the temptation to close all the retail shops” as there was no evidence they’re the cause of outbreaks.
He said: “To be closed again in a couple of weeks’ time just when they are getting to the main focus of Christmas, it really would be catastrophic.”
DON’T MISS
UK curfew: Could Britain be facing an 11pm curfew? [INSIGHT]
UK economy boost: 6.6% growth in third month since lockdown eased [ANALYSIS]
NHS Covid-19 app launched in next two weeks across England and Wales [REPORT]
In the aftermath of the Prime Minister’s announcement of the Rule of Six restrictions, brewer Greene King saw revenues drop to as low as 69 percent.
Chief executive Kate Nicholls believes more must be done.
She said: “For many people the Prime Minister’s statement last week was a bucket of cold water. The longer the controls are in place the less viable pubs are.
“We are likely to lose vital community facilities and are going to have to look at jobs as soon as in the next few weeks.”
She urged Chancellor Rishi Sunak to give the hospitality sector a clear signal of support.
Ms McClarkin said: “We need to get the message out there that pubs are safe. We need to see support for the industry, continued rate relief, a flexible furlough scheme and a reduction in beer duty.
“Our mantra is Long Live the Local and we really need to shout that from the rooftops.”
A Treasury spokesperson said: “We’ve supported pubs from the start, protecting millions of jobs through initiatives such as the furlough and Eat Out to Help Out schemes, VAT cuts, business rates holidays and cash grants of up to £25,000.
“We will continue to act to support jobs as we recover from the crisis.”
