£104.3m hospitality lifeline needs to be reviewed, says SLTA

The Scottish government needs to urgently review the financial compensation it is offering to the hospitality sector if employees are to be “here after spring 2021”, according to the Scottish Licensed Trade Association (SLTA).  

The statement comes in response to the new support measures the government offered this week after the first minister announced that Scotland would enter into level four restrictions to contain the spread of Covid-19. 

As part of the package a £104.3m lifeline has been thrown at hospitality industries across the region, with £19.2m being given to hospitality businesses in the form of one off grants. 

In addition businesses required to close by law are currently able to claim up to £3,000 every four weeks through the Strategic Framework Business Fund.

However, while the SLTA said it “welcomes” this additional support funding, it also said that the support has been marred by the “earlier than expected lockdown” payback measures that the industry had been anticipating.

They said: “These new constraints will have an even greater negative impact on the sector and those in the supply chain as we are losing any resemblance of the vitally important Christmas and New Year trade.”

“In light of this development the Scottish government will need to urgently review the provision of ongoing, realistic financial compensation if the sector and the staff that it employs are to be here after spring 2021 and part Scotland’s economic recovery.”

They added: “We remember Christmas past, we are suffering Christmas present, and who knows what Christmas future will bring. With the right support, delivered now, businesses might just survive in 2021 to once again provide the festive celebrations that we will all miss so dearly.”