LISTEN: Hospitality chief calls for end to inflammatory rhetoric

By Michael McHugh, PA

A hospitality chief has called for an end to the inflammatory rhetoric around the reopening of the sector.

Janice Gault said the industry had been demonised as the debate continues around whether to lift shutters next week.

The Stormont Executive is due to make a decision by Monday.

The Northern Ireland Hotels Federation (NIHF) chief executive said: “The challenges of the unfolding health and economic crisis brings to the fore the difficulties facing the hospitality sector.

Janice Gault speaking to Q Radio

“There have been many inflammatory statements, with the hospitality sector firmly pitched against the health mandate.”

With one week of the four-week circuit-break to go, Arlene Foster said the reproductive rate of the virus has dropped to an estimated 0.7.

Mrs Foster indicated discussions would continue over the weekend, with a decision to be announced early next week.

Chancellor Rishi Sunak has said the furlough scheme, which pays up to 80% of an employee’s wages, will be extended to March next year.

Mr Sunak also announced £400 million in additional funding for the Executive to address Covid-19 challenges.

Rishi Sunak

Health officials have recommended Northern Ireland’s shuttered pubs and restaurants should stay closed but no decision was taken at Stormont on Thursday.

Ms Gault said after three long weeks, there is still no clear idea when they will reopen or what reopening will bring.

She added that to trade viably there needed to be a sustainable framework agreed for hotels and the wider industry.

“The extension of furlough has been generally welcomed but behind this measure lies a substantial cost. The removal of the furlough bonus is a telling move.

“This, coupled with the five-month extension, is bringing a new focus to staff reduction and redundancy for businesses.

“Staff costs of 20% plus NICS and pension contributions have taken their toll in October.”

Whilst an employer contribution to wages is not required for the coming months, there is still an expense for furloughing staff. The bill for the current four-week closure is £7 million.

She said: “Adding to the pain is the loss of the sale of 280,000 bedrooms, over 200 weddings and the cancellation of Halloween festivities.

“I am saddened to see the open versus closing narrative unfold and the contribution of the sector being ignored.

“Hotels have invested over £5 million in structural changes to make premises safe, trained staff and pivoted their operations.

“There have been additional operational costs, all of which we have taken on the chin and yet demonisation of hospitality has continued.”