Shropshire business leader calls for 'swift and robust action' to help entertainment venues

Dozens of businesses across Shropshire which were hoping to fully reopen on June 21 now face the prospect of remaining closed, or severely restricted until mid-July.

Richard Sheehan, chief executive of Shropshire Chamber, said Boris Johnson’s announcement would have a major impact on the county’s nightclubs, live music venues and theatres.

“These businesses have been battling hard to stay afloat for the past 15 months, and were banking on next week’s ‘freedom day’ as the much anticipated start of their long road to financial recovery," he said.

“While we all understand the reasons for the Government’s caution, we need to see swift and robust action to ensure that this latest announcement does not tip these businesses over the precipice.”

Mr Sheehan said the delay to the removal of restrictions would come as a "hammer blow" to those firms which must now remain closed for up to another five weeks.

“We must ensure they receive the support, and the clarity, that will give them a chance to come through this," he said.

“Some entertainment venues can continue to viably operate below full occupancy, but not for a prolonged period – they will face significant challenges if the situation continues for too long.”

Mr Sheehan backed the British Chambers of Commerce’s call on the Government to provide further cash grants – at least equivalent to levels provided during the first lockdown, and delay the tapering of Government payments into the furlough scheme, planned for the start of July.

He said the Government should also consider extending the trade credit re-insurance scheme beyond the end of June to minimise possible disruptions in insurance coverage.

Other measures being suggested by the business community include an extension of the VAT deferral scheme and the 100 per cent business rates relief for eligible businesses.

Impact

“Given the length of the delay and the impact on hospitality and leisure firms in Shropshire, this should also be worthy of consideration,” Mr Sheehan added.

Mark Lewis, director at Hadley Park House Hotel in Telford, admitted to having mixed feelings on the Prime Minister's latest Covid announcement.

"It gave hope with one hand and took away with the other. We welcomed the increased numbers for weddings but with the social restrictions makes it extremely difficult to service those increased numbers given the configuration of our venue. However, we will work with all our bridal couples to find the most workable solution possible.

"Combined with the increased pressures on our recruitment process in a reduced labour pool and the lack of any further sustained business support, this makes it a very challenging and uncertain time for our business and our sector. We ask all our customers to please bear with us during this time. We will get there in the end," Mr Lewis added.

Charlie Farman, marketing assistant at Cleobury Mortimer-based Hobsons brewery, said: “We are disappointed that the long awaited lockdown easing planned for June 21 has been pushed back by four weeks.

"However, I think most would agree it would be more detrimental to relax rules too early, only to regress again further down the line.

"This has happened to the hospitality industry before and leaves pubs with a lot of stock in their cellar and no way to sell it.

"We trust the Government to lift restrictions as soon as they feel it safe to do so. In the meantime, the hospitality industry needs financial support from the Government to avoid irreversible business closures.”