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Holiday trade facing big losses as South West once again faces tougher Covid-19 restrictions

Hospitality businesses have been inundated with cancellations with predictions the loss of income could amount to £2million a week - and that figure is likely to rise with further restrictions into the New Year

St Ives

Thousands of people in Cornwall will face tougher Covid-19 restrictions after Boxing Day as the county jumps into tier 2.

Health Secretary Matt Hancock said that Cornwall - which had been just one of four places in the º£½ÇÊÓÆµ under the lowest tier 1 restrictions - would face more restrictions from 12.01am Boxing Day amid the rise of a fast-spreading strain of Covid-19.

Herefordshire - which was downgraded to tier 1 just last week - will also go into tier 2.

Bristol, Gloucester, Somerset and North Somerset - will now go into tier 3.

Devon stays in tier 2.

The news comes as larger swathes of the South East now enter tough tier-4 lockdown - which had already had a big affect on the region with visitors having to cancel festive breaks because of travel restrictions.

Tim Jones, chairman of the South West Business Council said hospitality businesses had been inundated with cancellations.

He said: "It is not good news. This is only going to get worse with tightening restrictions. We estimate that the cost of tier 4 the hospitality industry in the South West is £2million a week. With so many holiday homes in Devon and Cornwall, much of the festive season here is reliant on the South East.