Adnams brewery boss says sector lost 50% of Christmas tradeon December 29, 2021 at 4:42 pm

- Advertisement -
- Advertisement -
- Advertisement -
- Advertisement -

Dark months are ahead for the hospitality industry, the chief executive of Adnams says.

Pint of beer being poured

Image source, PA

A brewery boss said the sector had lost about 50% of its Christmas custom amid concerns over the Omicron variant.

Andy Wood, chief executive of Adnams, said the hospitality industry was facing the “economic equivalent of long Covid”.

The brewery, which is based in Southwold, Suffolk, owns 50 pubs and hotels and supplies many others.

Mr Wood urged the government to provide the industry with “clarity and consistency”.

“We need that so we can rebuild consumer confidence but also have the confidence ourselves so we can invest in our businesses again,” he said.

An Adnams brewery sign on a pub in Aldeburgh.

Image source, PA

Speaking on BBC Radio 4’s Today programme, Mr Wood described the festive season as a “lifeline” that helped the hospitality sector through “the dark months of January, February and March”.

“There is going to need to be government support,” he said.

“We have lost most of Christmas where the industry usually makes cash that sees it through January, February and March.

“The coffers are empty. This is an industry that has been in and out of lockdown and restrictions for 22 months now – it really hasn’t had a chance to rebuild profits and loss accounts and balance sheets.

“It is suffering the economic equivalent of long Covid.”

Mr Wood said to help the sector in the short-term the government could continue with the VAT reduction, while in the long-term it could look at “structural realignment of business rates”.

He said there had been a 50% drop in visitors to pubs and hotels after the chief medical officer for England, Prof Chris Whitty, urged people to be cautious about socialising.

A HM Treasury spokesperson said: “We’ve supported people’s jobs and incomes throughout the pandemic through our £400bn package of support, and will continue to do so through our additional £1bn support package for the hospitality and leisure sector.

“Hospitality businesses are also still benefitting from a 75% cut in business rates over the year, reduced VAT, eviction protection, government-backed loans, Time to Pay and our reintroduced Statutory Sick Pay Rebate Scheme.”

presentational grey line

Find BBC News: East of England on Facebook, Instagram and Twitter. If you have a story suggestion please email eastofenglandnews@bbc.co.uk

Related Internet Links

The BBC is not responsible for the content of external sites.
- Advertisement -

Discover

Sponsor

Latest

Covid travel: Seven locations moved to Covid travel green liston August 26, 2021 at 5:41 pm

Canada and Denmark go on the green list while Thailand and Montenegro are added to the UK red list.image sourceGetty ImagesCanada and Denmark are...

China’s CNOOC group to trim 2020 investment by up to 15%

China National Offshore Oil Corp (CNOOC) will trim annual investment by 10% to 15% in 2020, while maintaining its goal of increasing domestic crude...

Nasa astronauts splash-land on Earth in SpaceX capsule after ISS missionon May 2, 2021 at 8:21 am

This was the first night-time landing for Nasa astronauts since Apollo 8's return 53 years ago.This was the first night-time landing for Nasa astronauts...

Warren Buffett’s favorite stock-market indicator ‘scares the bejeezus’ out of this investor

Billionaire investor Howard Marks just told CNBC on Monday that “the world is more screwed up” than what the action in the stock market might lead...

3 million Americans skip mortgage payments, but Fannie Mae and Freddie Mac will cut mortgage servicers a break

As the number of Americans requesting forbearance on their home loans rises, Fannie Mae FNMA, -2.77% and Freddie Mac FMCC, -3.73% are relaxing rules for mortgage servicers. As of April 12,...