New data has revealed the 20 places most at risk of hollowed out High Streets because of the Covid-19 pandemic.
A new report by Labour states that the Isles of Scilly top the six areas in the South West featured on the most at risk list. The high proportion of hospitality, tourism, retail and leisure businesses in the region means it has been hard-hit by Covid-19 restrictions and repeated lockdowns.
Last week 80 % of firms in the South West warned they risk closure.
Across England, 11.7 per cent of all businesses are hospitality, tourism, leisure and non-essential retail businesses, like hotels and B&Bs, restaurants and pubs, clothes and book shops, travel agencies, hairdressing and beauty salons. In London, the figure is 12.6 per cent.
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Analysis of ONS data has revealed the places in England with a higher than average proportion of these businesses, with local economies therefore most reliant on their trade and most at risk if these businesses go bust:
- Isles of Scilly – 44.4 per cent
- Torbay – 20.3 per cent
- Cornwall – 20.2 per cent
- Isle of Wight – 20.2 per cent
- Blackpool – 17.7 per cent
- Brighton – 17.4 per cent
- Rutland – 17.2 per cent
- York – 16.6 per cent
- Thurrock – 15.9 per cent
- Bath and North Somerset – 15.7 per cent
- Dorset – 15.5 per cent
- Cumbria – 15.4 per cent
- Devon – 15.4 per cent
- East Sussex – 14.9 per cent
- Southend on sea – 14.7 per cent
- North Yorkshire – 14.2 per cent
- Nottingham – 14.2 per cent
- Northumberland - 14 per cent
- Herefordshire – 13.8 per cent
- Shropshire – 13.4 per cent
These types of high street businesses have been some of the hardest hit during the pandemic and are facing a cash crisis.
Labour has urged the Government to extend the 100% business rates holiday for retail, hospitality and leisure businesses for at least another six months; continue the reduced rate of VAT for businesses in the hospitality, tourism and culture sectors; and to give businesses greater flexibility to manage debt including student loan style arrangements.
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Shadow Business Secretary Ed Miliband said: “We are facing a national economic crisis, but it’s clear that if high street businesses like restaurants, hotels, shops and salons go bust the impact will be felt much more deeply by communities in certain parts of the country.
“The Government must stand up for local high streets and abandon the sink or swim approach. They must urgently confirm they will extend business rates relief to give struggling businesses the breathing room they need. We cannot allow these places to be hollowed out.”
Analysis: There is a bigger story behind the numbers
writes Hannah Finch, BusinessLive Audience Editor
Of the 20 places identified by Labour as being most at risk of a 'hollowed out' High Street - six are in the South West.
Coastal communities that are heavily reliant on tourism have been disproportionately hit by the Covid-19 restrictions and repeated lockdowns that have stifled leisure, hospitality and holiday providers.
As the first lockdown hit in Spring 2020, economic leaders warned that the relatively low Coronavirus case numbers in Devon and Cornwall made everyone think the region was lucky to escape the worst of the pandemic.
And when the summer came, holiday makers desperate for a break headed opted for a staycation and the region's tourism businesses were .
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But as the restrictions have continued, so has the pressure on the hardest hit industries. Amid lockdown 3, businesses are warning that they
But there have been some good news as the region looks to recovery - in Torbay, which comes in at number 2 on the 'at risk' list - campaigners say that may well open a up a new market for the hard hit charter boat industry. Penzance in Cornwall and Paignton in Torbay have both secured a for regeneration. The Great South West movement is calling for in next month's budget.
It is only when the 海角视频 can get a degree of certainty over the years ahead can it start to re-imagine how the High Street and the wider leisure and hospitality industry will adapt as we move past the crisis.
What support do you think the South West needs in the Covid-19 recovery - share your views in the comments section below