Thank you for contacting me about supporting our pubs.
No one wanted to see further restrictions and I understand that many pub landlords have concerns about the new measures in place. In light of the rapid spread of Covid-19 across the country and the current transmission rates, however, I understand why they will continue to be necessary in some areas. Without a cautious relaxation of restrictions, the NHS could be overwhelmed and more lives lost over the winter.
The closure of pubs has been difficult to bear and the Government is rightly providing significant support for hospitality businesses. In Tier 2 areas such as Horsham, pubs, restaurants and bars that operate as restaurants can continue to serve customers until 11pm - with last orders called at 10pm - although alcohol should only be served as part of a substantial meal.
Evidence indicates that the risk present in pubs and bars is higher than many other indoor settings, as people tend to be in close to one another for a long time without face coverings. People also speak louder, generating more aerosols in sometimes poorly ventilated venues. The Scientific Advisory Group of Emergencies estimated that restrictions on pubs and restaurants would have a moderate effect on lowering transmission rates.
The Prime Minister has also announced a one-off £1,000 grant for wet-led pubs in tier 2 and 3 areas. Where businesses are not required to close but are severely affected by restrictions in tier 2 and tier 3 areas, local councils will receive funding to provide grants up to £2,100 for each 28-day period.
Every business forced to close will receive grants of up to £3,000 a month under the Local Restrictions Support Grant. The Government is also providing local authorities with a further £1.1 billion to support businesses in their area and will freeze the business rates multiplier for 2021-22, saving businesses an estimated £125 million.
I welcome the fact that the Coronavirus Job Retention Scheme has been extended until March in response to new national restrictions and to give people and businesses across the UK the certainty they need over what will be a difficult winter. Under the extension the Government will pay 80 per cent of wages up to a cap of £2,500, with employers paying employer National Insurance Contributions and pension contributions only for the hours the employee does not work. Flexible furloughing will be allowed in addition to full-time furloughing.
In addition, the Chancellor has announced the freezing of alcohol duty – for only the second time in 20 years. There will also be a call for evidence on the need to reform the current duty system which will be published before the end of the year.
At this time of uncertainty, I believe that all involved must also consider adjusting restrictions as new evidence emerges. I am glad that evidence continues to be collected on the impact of the pandemic on the hospitality sector and we must look forward to an easing of restrictions as soon as possible.
Thank you again for taking the time to contact me.
