Some 72% of British public establishments expect “to no longer be viable and to close in 2021”, according to a study of the branch in the United Kingdom.
Nearly three quarters of British pubs and restaurants expect to go out of business next year because of restrictions on their activity brought about by measures to combat the new coronavirus, according to a sector inquiry.
According to the organizations British Beer and Pub Association, UK Hospitality and British Institute of Innkeeping, 72% of the companies surveyed expect “to no longer be viable and to close in 2021”.
The survey, conducted on behalf of these organizations by the research firm CGA with 446 companies representing 20,000 establishments, also shows that companies in the sector want the government to provide them with more support to get through the economic crisis. massive triggered by Covid-19.
Alongside transport or the oil sector, restaurants, bars, hotels and theaters are among the sectors hardest hit by the pandemic. After the confinement which forced them to close their doors from the end of March to the beginning of July, they are again required in England and in several regions of Scotland to cease their activity.
Jobs lost and “beloved” places closed
In their press release, the three organizations denounce “the devastating and long-term impact of government restrictions on” the sector. “Without a change in approach and more government support, much of the sector could be gone within a year. Which means lost businesses and jobs, not to mention beloved places, closed forever, ”the statement insisted.
The United Kingdom is the European country most affected by the pandemic with around 52,000 dead. In addition to the closure of restaurants and bars in England, sports venues, shops and businesses deemed non-essential are also required to keep their doors closed until at least December 2, as the Christmas season approaches, which is crucial for small business.
To help businesses get through this unprecedented economic crisis in modern history, the British Treasury has injected £ 200 billion in aid through loans, payments to businesses and the self-employed, or short-time work compensation.
The KPMG cabinet indicated in a study on Wednesday forecast a record contraction in British GDP of 11.2% this year because of the pandemic, with a recovery of 4.4% in the event of a no-deal Brexit, or to 7.2% if the United Kingdom manages to sign a minimum trade agreement with the European Union at the last minute.
In another study released Thursday, the National Statistics Office finds that one in 7 businesses in the UK may not survive the next three months due to England’s re-containment.