Financial support for hospitality businesses announced but traders still in ‘state of anguish’

Businesses in Wales still affected by coronavirus restrictions will be able to claim up to £25,000 more in support to help meet ongoing costs, First Minister Mark Drakeford has announced.

However, hospitality businesses have said that there’s still much to be done to save nightclubs and DJ and live music venues from absolute ruin.

The Welsh Government have confirmed up to six people from six different households will be able to meet in indoor regulated settings, such as cafes and pubs, when they open from May 17.

Businesses that stand to benefit from the financial support include:

• Nightclubs and late entertainment venues
• Events and conference venues not covered by the Welsh Government’s Cultural Recovery Fund (CRF)
• Hospitality and leisure businesses, including restaurants, pubs and cafes.
• Supply chain business, which have been materially impacted by restrictions.

The Welsh Government says this latest support package will help those businesses, which remain affected by restrictions, to meet ongoing costs through to the end of June as they prepare for re-opening and more normal trading conditions.

The announcement comes after 170 hospitality businesses from Swansea and Cardiff wrote an open letter to Welsh First Minister urging action to help night time economy.

‘Unite For The Night’ was formed by Swansea Hospitality Forum and Cardiff Licensees Forum to be a voice for the night time industry as the Welsh Government tackles the Coronavirus pandemic.

The Welsh Government says that ministers have made an immediate decision to release funding to support businesses affected by the restrictions but there will be further decisions for the incoming Welsh Government to make about further support, to help businesses recover and develop when restrictions are relaxed further.

First Minister Mark Drakeford said: “The public health situation continues to improve in Wales – we have the lowest coronavirus rates and the best vaccination rates in the UK.

“We know the restrictions have helped to keep us all safe but they have had a big impact on Welsh businesses, which is why we are making more funding available to support firms and safeguard jobs.

“Eligible businesses will receive support of up to £25k as they prepare to reopen and move towards more normal trading conditions.

“My new government will provide more detail about the extra financial support we will be providing to businesses to help them develop and grow as Wales recovers from the impact of the pandemic.

“As we continue to relax the restrictions, I can confirm that from Monday, up to six people from six different households will be able to meet indoors in regulated settings, such as cafes and pubs.”

Nick Newman from Unite For The Night said: “We recognise and appreciate the First Minister giving more clarity to pubs, restaurants and cafes and pledging more money for them and other night time businesses.

“We are pleased the pressure from our industry on these important matters has been productive. But let’s not be complacent – there’s still much to be done to save nightclubs and DJ and live music venues from absolute ruin.

“These valuable businesses are still wholly in the dark about when they might be able to open again, and whether continued social distancing will be in place, which would effectively ring the death knell for most of them. Our members are in a real state of anguish over their futures and we must re-iterate our calls to the First Minister to make this issue an urgent priority.”

Read Unite For The Night’s open letter to the First Minister here.

An eligibility checker will open on the Business Wales website at midday on 17 May so businesses can find out how much support they are likely to be entitled to and how to apply. Businesses will be able submit applications by the end of the month and they will receive between £2,500 and £25,000 depending on their circumstances. Funding will be calculated based on the size of the business and the type of restrictions they are under.

This support is in addition to the Welsh Government’s £610m non-domestic rates relief which will mean more than 70,000 retail, leisure and hospitality businesses pay no rates in 2021-22.

(Lead image: Swansea Council)

YOU MAY HAVE MISSED…

Business

Brewery opens new Llanelli taproom and pizzeria thanks to ‘Town Centre Loan’

28th March 202328th March 2023

Food & Drink

TikToker recreates Great British fryup using giant hot cross bun

25th March 202325th March 2023

Swansea

BillyChip scheme launches in Swansea to support homeless by breaking down barriers

23rd March 202323rd March 2023