The national lockdown in England could be "ruinous" for some businesses and comes as a "bitter disappointment", according to the head of a South West chamber of commerce.
The restrictions, which come into force on Thursday (November 5) were announced by Prime Minister Boris Johnson on Saturday.
The lockdown will last until December 2 and will require people to stay at home and will include the closure of restaurants, pubs, entertainment venues and non-essential shops.
The Government's furlough scheme has been extended to give some support to businesses.
But Phil Smith, the managing director of Bristol-based chamber of commerce Business West, said the restrictions would be "shattering" to companies that are forced to close.
He said: "The facts are clear - something different is required if this virus isn't going to overrun the country.
"The impact of a month's restrictions on businesses will ripple throughout the economy and will be shattering for those forced to close.
"Many companies have worked hard to make their workplaces and services Covid -safe. So, as necessary as this seems to be, it will be a bitter disappointment to all and ruinous for some."
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Mr Smith said the chamber welcomed the extension to the job retention scheme but added that business costs were not just limited to employees' wages.
He said: "Rents, rates, taxes and leases all keep coming - even if your sales are down or worse still stopped altogether and we are looking for the chancellor to provide additional financial support to businesses."
He also said it was "obvious" the Government could extend the lockdown if the measures did not stop the spread of the virus.
"The December 2 lockdown exit date is clear, but it's obvious that the Government will need to extend the lockdown if these new restrictions do not work," he added.
Mr Johnson said he was "truly, truly sorry" that restrictions had to be introduced but said rising coronavirus rates left him with "no choice" - and warned hospitals in the South West, in particular, would be among the first to be overwhelmed.
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“I’m under no illusions about how difficult this will be for businesses which have already had to endure such hardship this year and I’m truly, truly sorry for that – and that’s why we’re going to extend the furlough system through November," Mr Johnson said.
“The furlough system was a success in the spring, it supported people in businesses in a critical time. We will not end it, we will extend furlough until December.”