More financial support and the lifting of trading restrictions is urgently needed to prevent Welsh hospitality business closures and job losses.
That was the warning from 海角视频Hospitality Cymru as they report a festive flop thanks to Omicron fears and new restrictions that came in after Christmas Day.
These included the rule of 6 and table service in pubs and restaurants which were introduced despite the Technical Advice Cell - which looks at data and models how different restrictions would work - advising against "light touch mitigations". Nightclubs were also forced to close.
TAC advised that a four week lockdown would be required to cut case rates and while cases have spiralled since then more evidence is showing that the percentage of those falling seriously ill is far lower than in previous waves. Despite this, services are being put under pressure due to staff illness and the sheer number of cases.
Hospitality is struggling right across the 海角视频 - including in England despite no new rules - but 海角视频Hospitality estimate a further 25% hit in Wales due to the restrictions.
The next Covid restrictions announcement will take place on Friday.
“Across the board, enforced sub-viable trading and the associated cautionary climate has fuelled a festive flop in our pubs, restaurants, hotels and wider hospitality,” said David Chapman, executive director of 海角视频Hospitality Cymru.
“A disastrous Christmas and New Year under the latest restrictions has left many facing a perilous financial position with grants falling way short of what is needed. In particular, retaining staff on current Government supports is unsustainable.
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"Wales’ nightclubs are closed but are expected to keep a full staff roster, for maybe as long as two months, with a grant that doesn’t even amount to a busy night’s takings.
“Their English counterparts are reporting falling footfall and heavy losses even without the stringent additional set of restrictions being imposed in Wales - revenue is at least 25 per cent lower than across the border at present.
“If financial support isn’t swiftly forthcoming, grave commercial impacts are inevitable, which will hugely damage communities across Wales."
The Government has provided a £120m support fund for impacted sectors.
A Welsh Government spokesperson said: “As a result of the rapidly spreading omicron variant, Wales is currently at alert level two. This means the majority of businesses are currently open and able to trade, but we appreciate the measures in place to protect the public and staff are having an impact on businesses.
“Our £120m package of emergency financial support, covers impacted businesses for the period from 13 December 2021 to 14 February 2022.
“Businesses eligible for non-domestic rates-based payments need to register with their local authority from 10 January and will start receiving payments quickly afterwards. The application window for the Economic Resilience Fund will open in week of 17 January with payments starting to reach businesses within days.
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“The Cabinet is reviewing the situation on a weekly basis and will continue to consider whether additional emergency business support funding is needed.”
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