The announcement today that Welsh Government will ease Covid restrictions in Wales over the next two weeks has been welcomed by business groups - but questions remain over funding and the damage the rules have caused.
Welsh Government brought in additional restrictions in Wales on Boxing Day due to a spike in cases, driven by the Omicron variant.
There were limits of 50 people at sporting events and social distancing and the rule of six at hospitality venues such as pubs and restaurants. Nightclubs were closed the next day.
Cases now look to have peaked and while hospitalisations have increased in recent weeks it has been at a far slower rate than in previous waves - and the number of people needing intensive care has remained relatively stable.
This has seen the Government announce a move to take Wales to Alert Level Zero by January 28 - although Covid passes will remain in place for nightclubs, events, cinemas, concert halls and theatres.
With case rates also falling in England, Mark Drakeford today came under pressure to justify the additional measures in Wales which hospitality chiefs estimate have added an extra 25% revenue hit on pubs and restaurants - while clubs have lost far more after being closed.
There are also calls for an increase in the funding for businesses - both in the emergency cash and for a recovery fund.
Welsh Government has announced a £120m fund but has also withdrawn a previous £35m recovery package - with calls for this or something similar to be reinstated.
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Mr Drakeford today defended the measures brought in - saying ONS figures showed that Wales, Scotland and Northern Ireland - all nations where rules were brought in - have lower infection rates (1 in 20 infected) than in England (1 in 15 infected).
He said this had allowed them to move to ease regulations.
The FSB also today called for the easing of the rules on indoor hospitality to be brought forward a week from January 28 to January 21 to "release the pressure on these businesses".
In addition the Night Time Industries Association attacked the return of Covid passes saying there was "no scientific evidence or data to support it" in a sector that was shutdown despite implementing the passes.
What business groups said:
海角视频Hospitality Cymru
David Chapman, Executive Director of 海角视频Hospitality Cymru said: “This is positive and keenly anticipated news following a truly devastating period of restricted hospitality that has wiped out millions of pounds of revenue in weeks.
“Businesses have been pushed to the brink and there has been a palpable collective sigh of relief as today’s news has sunk in. Our gratitude is extended to the hundreds of businesses, large and small, which helped furnish 海角视频Hospitality Cymru with the financial data that helped to influence the Welsh Government Cabinet’s decision to speed up the lifting of restrictions.”
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海角视频Hospitality Cymru is calling for the Welsh Government to top up the existing £120m industry support available to businesses, to help retain jobs, and for a new recovery fund to be introduced to begin the process of bringing the hospitality industry back.
“Hospitality is a cornerstone of communities across Wales and was a pre-pandemic economic powerhouse. It has been damaged but not downed and now needs a helping hand to support its long term rebuild,” said Mr Chapman.
CBI Wales
Ian Price, CBI Wales Director, said: “The reduction in Covid restrictions will be welcomed by businesses across Wales which have endured enormous economic hardship throughout the pandemic.
“A roadmap to a more open economy will reinvigorate activity in our towns and cities, while bringing much-needed relief to beleaguered sectors like hospitality and entertainment.
“CBI Wales now looks forward to working with the Government to define a future strategy for living with the virus – and its variants. This will be vital for confidence and to avoid the economic damage which results from fluctuating between periods of restrictions and normality.”
Night Time Industries Association
Michael Kill, CEO of the Night Time Industries Association, said: "Finally a common sense approach from the Welsh Government! Following intense campaigning from the industry and trade bodies we have put an end to the uncertainty.
“While we are relieved that we finally have clarity on Welsh Government’s intentions, it has come at a cost to businesses, staff and supply chain.
“It is difficult to accept that we remain subject to Covid passes for nightclubs in Wales. They were sold as the solution to nightclubs and similar settings remaining open, and that they are an effective way of managing transmission within these environments
“It is clear from the period of closure and restrictions that this is not the case, it is also clear that there is no evidence base that has been presented by Welsh Government to support this decision.
“I would urge the Welsh Government to realise the farcical basis of this mitigation, with no scientific evidence or data to support it, and end it in line with the date that restrictions for nightclubs are withdrawn on the 28th January.
“This policy seems only to have exacerbated market distortion, segregation, impact on trade and compromise staff and customer safety.”
Welsh Beer and Pub Association
Emma McClarkin, Chief Executive of the Welsh Beer and Pub Association, said: “The news that restrictions in Wales will be lifted from the end of January is fantastic for pubs and brewers.
"Of course every day of trading counts, especially in light of the huge loss of trade over the festive period, and we would love to have been open earlier. The average pub in Wales lost more than 30% of income over the two week Christmas period which has hit bottom lines incredibly hard.
“We will continue to work closely with Ministers in Wales to ensure that brewers and pubs in Wales, so vital to the visitor economy, can restart their recovery in earnest. The ongoing support of the Welsh Government will be important to make sure Welsh brewers and pubs bounce back as quickly as possible.”
FSB Wales
Ben Francis, FSB Wales Policy Chair, said: “FSB and our members appreciate the importance of keeping Wales safe, and the serious health implications of the Omicron variant. We fully recognise the challenges posed by the virus and the spread of the Omicron virus. Businesses in Wales have worked tirelessly throughout the pandemic to keep Wales safe and have diligently followed the guidance and advice placed forward by Welsh Government.
"In return, the FSB has called on the First Minister to ensure businesses are fairly funded and informed of what lies ahead. We are pleased that our calls for clarity have now been recognised, with the First Minister’s announcement of a roadmap, which outlines a lessening of restrictions over the course of the next two weeks. This brings much needed clarity for businesses in Wales, who are facing an increasingly challenging economic landscape.
"However, we remain concerned that as an important sector of our economy, hospitality has borne the brunt of the impact of these restrictions and continues to face a precarious situation.
"We call therefore on the Welsh Government to consider bringing forward the plans to remove the additional requirements on indoor hospitality to the 21st to release the pressure on these businesses. These are businesses which made a sacrifice to help Wales combat the threat of Omicron and have made a significant contribution to the success of the effort as outlined by the First Minister.
"We would ask that Welsh Government consider the reduction in the self-isolation period, bringing the regulations in line with England."
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