Colin Neill, Chief Executive of Hospitality Ulster
At this start of this pandemic, few could have imagined the turmoil each of us would have faced in the intervening months. Sadly, too many people have lost their lives as a result of this deadly virus and the devastating impact of the loss of family members and friends has been felt right throughout the country.
The devastating impact of job losses has also been felt right throughout the country and unfortunately the number of livelihoods which have been adversely affected will only increase. The lockdown measures signed off by the Executive and Assembly yesterday will be a complete disaster if it is not accompanied with an immediate emergency financial package to cover all costs the sector will face over the coming four weeks, at least.
There is no doubt about it, that the hospitality sector is one of the most impacted by Covid-19. Hospitality businesses here have long been the focal point of our cities, towns and villages right across Northern Ireland, employing upwards of 65,000 people. These hospitality businesses tie the high street together; they are the central meeting places of many rural communities and crucially contribute £1.2billion a year to our economy, in normal times.
The industry also plays a much wider role than its economic footprint, with around 60 per cent of tourism spending their money on hospitality and some 33 per cent of Northern Ireland agri-food output dependant on hospitality businesses to sell their produce.
Covid-19 has diminished all of this. In many cases, the very heart of the sector has been ripped out. We only have to look at the closure of the iconic Harp Bar and Duke of York in the Cathedral Quarter in Belfast. The potential loss of 100 jobs here is not a one-off - similar job losses are being announced right across Northern Ireland with local businesses simply unsustainable in the current trading environment. Unfortunately, it is true that many others will face total business failure before the end of the year, as a direct result of these new restrictions.
The domino effect which this has on the wider economy and society is also massive. Without a booming hospitality sector, suppliers, those in the live music industry and taxi drivers for example, among many others, are equally impacted.
We urgently need all costs of the sector to be covered by the government to ensure our people have food on their tables and as many businesses as possible can be preserved. Without this, businesses will simply not survive and there is a real and growing risk that thousands of jobs will be lost in the coming months. The devastating impact this would have on our local communities is unthinkable and it is incumbent upon all of us to minimise this as much as possible.
On the other side of this, we need to make sure we have an economy and society which can prosper once again. Hospitality must be central to this and it is now more important than ever that the long-term impediments to further growth and development are addressed. Amid all the turmoil, it is encouraging that a Liquor Licensing Bill will be introduced in the NI Assembly next week which aims to finally address the antiquated laws here. We also must address the fact that our sector faces the highest business rates in the UK and the second highest hospitality VAT in Europe, not to mention the challenges posed by Brexit.
Put simply - our sector is losing faith as it appears that the vital and positive impact which the hospitality industry plays in our local economy has been forgotten about. Now more than ever, we need the government to once again champion our sector to ensure its very survival.
Ultimately, while we appreciate that the NI Executive is rightly focused on saving lives, they must take into account the thousands of livelihoods which are at risk too and provide the necessary financial support.