Hospitality sector expected to rack up losses of up to £300m this Christmas

By Q Radio News

Hospitality Ulster is calling for an urgent compensation scheme for the industry in Northern Ireland.

The sector is expected to rack up losses of up to £300 million in trade over the Christmas period due to the impact of the Omicron variant.

Latest figures from a survey taken in December by the group show that the trading position of its members is deteriorating sharply.

According to the data, one in three members said that beverage sales had contracted by more than 50%.

The hospitality sector is expected to rack up losses of up to £300m this Christmas. #hospitality https://t.co/GSTiqOqSbI

— Q Radio News (@qnewsdesk) December 21, 2021

Almost all members said they have been negatively impacted by Covid-19 measures and increasing uncertainty around what, if any, new measures might be introduced with the arrival of the Omicron strain of the virus.

The data also shows that the impact is worsening.

For example, twice as many members reported a drop in food sales of more than 50% in the week commencing 13th December 2021 compared to 39% in the week commencing 15th November 2021.

Fears are now growing about what additional measures the Executive will bring in next.

Some in the sector have even been forced to close their premises over the Christmas period due to staffing issues, cancellations and a lack of trade.

Chief Executive Colin Neill said:

“These latest figures are absolutely horrific and show that the entire sector is in a state of emergency.

The feedback we are getting is horrendous, some have told us they are preparing for liquidation. The situation we are in will obliterate livelihoods.

“The Executive needs to let us know right way what the plan is. The mixed messages are having a catastrophic impact.

"We are open but not trading and our politicians need to decide now how to arrest this decline into financial ruin.

"We are once again fighting for survival and trying our best to keep staff employed. Our sector is running out of time.

"We have hospitality business owners crying their hearts out during media interviews; what sort of situation is that to be in?

"This is the fourth largest private sector employer we are talking about here. These people need help, they need compensated.”

Mr Neill is issuing this message to the Executive:

(Hospitality Ulster Chief Executive Colin Neill)