Hospitality Ulster welcomes financial announcements to support the industry

Colin Neill, Chief Executive of Hospitality Ulster

Colin Neill, Chief Executive of Hospitality Ulster

Reacting to the announcement by Economy Minister Diane Dodds at the latest NI Executive Press Conference, Colin Neill, Chief Executive, Hospitality Ulster said:

“We welcome the announcement by Minister Dodds of the new Covid Restrictions Business Support Scheme (CRBSS) for those in the hospitality sector supply chain who have, so far, not received any financial support since the start of the pandemic. They are an important and much valued element for the smooth functioning and supply of the entire sector, and with the lockdown, where left high and dry through tightened restrictions and ultimately the closure.”  

“We look forward with some anticipation to the development of the tourism and hospitality scheme outlined by the Minister today which will address issues associated with current restrictions and will expressly commit to supporting traditional pubs who have been closed for a significant period of time, as the Minister has acknowledged. Financial support needs to get to everyone in the hospitality sector as quickly as possible.”

Reacting to the announcement of the new Job Support Scheme by the Chancellor this afternoon Colin Neill, Chief Executive, Hospitality Ulster added:

“The announcement by the Chancellor this afternoon on the Job Support Scheme must be welcomed as it will give employers and businesses owners some relief that they will be able to protect jobs for at least the next six months. There was real fear, particularly in the hospitality sector here, that the 20% contribution from employers under the existing furlough scheme simply could not be found with closed businesses and zero income. The new scheme will allay a significant amount of anxiety in everyone across the sector and it is also good news that neither the employer not the employee need to have previously used the Coronavirus Job Retention Scheme.”  

“Government intervention cannot last forever and we need to make sure that we are planning and working towards a reopening phase. The information published earlier this week proved that the hospitality sector was not a high risk in the transmission of covid19 and that the evidence has shown that the justification of the industry lockdown has been largely overplayed to assist with wider contributing behaviours in the home.”

NILGA welcomes opportunity to brief Economy Committee on tourism strategies

Cllr Matt Garrett, President, Northern Ireland Local Government Association

Cllr Matt Garrett, President, Northern Ireland Local Government Association

Commenting after giving evidence to the NI Assembly Economy Committee this morning, NILGA President Cllr Matt Garrett said:

“We welcomed the opportunity to provide evidence to the Assembly’s Economy Committee on the role of local government in tourism strategies. Tourism is one of the region's most important industries, accounting for 5% of our GDP, and with significant potential to become a £1bn industry. However, it has been amongst the worst affected sectors in the face of the pandemic, affecting thousands of jobs and dramatically curtailing the number of both domestic and overseas tourists coming here. 

“Councils are vital in the development and implementation of local tourism strategies and have been at the forefront of efforts to support the sector during the pandemic. Task forces have been set up to coordinate efforts on a local basis, councils have often been the first port of call for businesses and workers looking advice, and all 11 councils have assisted the Department for the Economy in rolling out grant schemes. Local and central government have also worked closely together to grow consumer confidence, while councils have delivered targeted and successful marketing campaigns to drive visitors from across the island.

“The outlook for tourism here is somewhat bleak but there are key opportunities to support our local sector which must be grasped by the Executive, in collaboration with local government. Urgent and direct financial support must be granted to tourism businesses to ensure that they survive through to the 2021 holiday season and ensure that we have a local tourism sector to return to next year. With international travel severely curtailed, people here have been discovering the attractions and destinations on their own doorsteps. There is now an opportunity to develop this ‘staycation’ market for the medium to long term and market the region as a leading destination for visitors from across the island.

“We have a tourism sector and offer to be proud of in this part of the world but, with the impact of Covid-19, it is seriously struggling. Tour guides, experience providers, cultural institutions, accommodation providers and workers must be given the tools and support to save their businesses and jobs, ensuring that tourists next year still have the same world-class experiences and destinations to choose from. We call on the Department to bring forward a tourism strategy that provides the resources and direction to grow tourism in a collaborative, innovative and sustainable way".

Mallon launches Planning Engagement Partnership – to improve community engagement in the planning process

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Infrastructure Minister Nichola Mallon has announced the establishment of a Planning Engagement Partnership.

The Partnership will look at how to enhance the quality and depth of community engagement in the planning process at both the regional and local planning levels and help to improve the planning system experience for users.

The Partnership will bring together a cross-section of key planning stakeholders involved in planning in Northern Ireland including Community Places, an organisation with extensive experience in providing support to people and communities engaging in the planning process.

The overall purpose of the Planning Engagement Partnership is to enhance the quality and depth of community engagement in the planning process at both the regional and local planning levels. The first Partnership meeting is taking place on 21 October 2020. It is anticipated that the Partnership will run for six to nine months and prepare a final report, including a series of key recommendations for improvement. 

Hospitality Ulster welcomes the introduction of the Liquor Licensing Bill to the Northern Ireland Assembly

Colin Neill, Chief Executive of Hospitality Ulster

Colin Neill, Chief Executive of Hospitality Ulster

Welcoming the introduction of the Liquor Licensing Bill to the Northern Ireland Assembly, Colin Neill, Chief Executive of Hospitality Ulster said:

“Hospitality Ulster welcomes the introduction of the Liquor Licensing Bill to the Northern Ireland Assembly this evening by Minister Murphy on behalf of the Communities Minister, Carál Ní Chuilín who is self-isolating.”

“This is an important step in modernising the archaic liquor licensing legislation here and will bring significant benefits to the wider sector. We are now keen to see swift passage of the Bill from the introductory stages to Committee.”

“After years of lobbying for a much needed change, this Bill is even more timely and crucial due to the impact of Covid-19 on the hospitality sector. Despite the pain currently being faced by hospitality businesses, we are hopeful that this new legislation will have a positive impact on trading next Easter and beyond.”

“Prior to Covid-19, despite contributing £2billion a year to the Northern Ireland economy and the backbone of the tourism offer, the growth potential of the hospitality sector was being curtailed by the outdated legislation. As we look to bounce back and rebuild the hospitality sector here, it is imperative that businesses have all the tools necessary to thrive. Despite the undoubted challenges ahead, this Bill will be a welcome boost for hospitality businesses right across Northern Ireland.”

Business groups urge public to keep following basic rules and work together to suppress virus

Derry Chamber CEO Paul Clancy

Derry Chamber CEO Paul Clancy

Northern Ireland’s four leading Chambers of Commerce have issued an urgent appeal to the public to work together to help flatten the current spike in Covid-19 cases.

The chief executives of the Londonderry, Belfast, Newry, and Causeway Chambers are urging everyone across Northern Ireland to take much greater caution in the coming weeks and to minimise their contacts as much as possible to help push the R rate of the virus back down. 

They are also calling for a plan that will ensure there is a longer term solution to how we keep the economy going, rather than the stop start approach that is decimating businesses.

In a joint statement, Paul Clancy, Simon Hamilton, Colm Shannon, and Karen Yates said:

“The Executive has taken drastic action this week to suppress the disturbing rise in Covid-19 cases. These are actions which will have devastating consequences on businesses of all shapes and sizes across Northern Ireland but have sadly been deemed necessary to protect lives and ensure capacity within our health service.

“To give our companies a fighting chance of survival, we all now need to step up our own efforts to push down the curve of the virus once again. The people of Northern Ireland showed in the early stages of the pandemic how we can pull together and work collectively to protect our loved ones and the vulnerable in our society. It is time to redouble our efforts.

“We also need to see a plan emerging that will enable us to balance the health of society as well as our economic needs. Businesses cannot deal with repeated lockdowns. A longer-term solution must be found to this crisis.

“Our businesses have had an exceptionally difficult year. Being forced to shut their doors for three months, investing energy and time and millions of pounds into ensuring premises are safe and secure to welcome back staff and customers, and now either being forced to close again or trading in a ‘lockdown in all but name’ environment, has taken a huge toll on the local business community and is being felt in all four corners of our region.

“The new restrictions are a devastating blow. Going in and out of lockdown is the worst possible thing for businesses and workers. It breeds uncertainty and anxiety and will lead to significant job losses. By following the four basic but key rules – regular hand washing, wearing a mask in shops and enclosed spaces, social distancing when you’re out and about, and minimising your social contacts as much as you can – we can flatten the curve again. The power is in all our hands to get back to normality as soon as possible but we must pull together to protect lives, protect jobs, and save businesses across Northern Ireland.”

Brown O'Connor Communications Weekly Look Ahead: Week Commencing 19 October 2020

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Forward Look

  • The NI Executive has imposed new Coronavirus restrictions to curb the rise in cases. From 6pm this evening, hospitality businesses will only be allowed to offer takeaway and delivery services for four weeks. Schools will close from Monday 19 October until Monday 2 November, off licences and supermarkets will stop selling alcohol at 8pm, and people are instructed to work from home unless unable to do so. These restrictions will last for an initial four weeks.

  • The Executive has announced a £35m scheme of grants to support businesses forced to close over the next four weeks. Depending on their size, businesses will receive between £1600 and £3200 in grants for every two weeks that they are closed.

  • The Irish Government has banned all household visits, excluding childcare and on compassionate grounds, and moved border counties Donegal, Cavan and Monaghan to level four restrictions, the second highest level.

  • EU leaders are set to call for Brexit trade talks to continue beyond the end of this week, a deadline initially suggested by the Prime Minister. No 10 has said he will decide the “next steps” later today. The EU-UK Joint Committee will meet on Monday 19 October. NI Executive representatives have been invited to take part.

  • First Minister Arlene Foster MLA told the Assembly that the Executive’s next investment strategy - how the Executive focuses its available capital resources to address social and economic value – will be developed in parallel with the Programme for Government and it is intended it will be brought forward during the 2021-22 year.

  • Five working groups have been established by the Department for the Economy as part of work to develop a new energy strategy for Northern Ireland. An expert panel on the future of energy has also been established to advise on the development and first implementation phase.

  • Health Minister Robin Swann MLA has announced his intention to introduce a new Adoption and Children Bill later this year to reform and modernise the legislative framework for adoption.

  • Question Time for the Education Minister and Finance Minister will take place on Monday 19 October. The Health and Infrastructure Ministers will take questions on Tuesday 20 October.

  • Representatives from the Education Authority will give evidence to the Education Committee on governance issues relating to SEN statementing on Wednesday 21 October.

  • Representatives from NILGA and Mid and East Antrim Borough Council will give evidence to the Economy Committee on the role of local government in tourism strategies on Wednesday 21 October.

  • The Finance Minister will brief the Finance Committee on the impact of the Chancellor’s decision to cancel the UK Budget on the Assembly Budget for 2021/22 on Wednesday 21 October.

  • The Communities Committee will receive a briefing by the IFA on Thursday 22 October on the impact of Covid-19 on local football.  

  • A number of NI Assembly APGs are due to meet virtually next week – Lung Health on Monday 19 October; Children and Young People, and Preventing Loneliness on Tuesday 20 October; Mental Health on Wednesday 21 October; and Parental Participation in Education.

  • The Northern Ireland Affairs Committee is due to meet in private session on Wednesday 21 October.

  • Belfast Film Festival and its sister festival DOCS Ireland will run throughout November and will unveil a series of premieres including the world premiere of a new documentary, Martin McGuinness: I Fought, I made Peace, I made Politics. Further information and the full programme of events can be found: LINK

Other Stories this week

  • Infrastructure Minister Nichola Mallon MLA has said she is recommending approval for the redevelopment of Casement Park. Minister Mallon has also announced that changes to legislation to exempt private vehicles of historic interest from annual MOT testing are now in effect.

  • A poll by the Belfast Telegraph and LucidTalk has found that SDLP leader Colum Eastwood MP is Northern Ireland’s most popular political leader while deputy First Minister Michelle O’Neill MLA is the least popular.

  • The Irish Government also unveiled its 2021 budget on Tuesday, worth a record €17.75bn. Assuming there will be a no-deal Brexit and no vaccine for Covid-19, VAT for hospitality has been reduced to 9% until December 2021, a recovery fund of €3.4bn has been established focusing on key areas like job support and infrastructure, and the Shared Island Initiative will receive €500m over five years to strengthen north-south co-operation.

  • A new NI Assembly APG on Further and Higher Education has been established. Foyle MLAs Karen Mullan and Gary Middleton have been appointed the group’s Chair and Deputy Chair respectively.

Upcoming key political and business events

Consultations                                                                                                                   

Colin Neill, Chief Executive of Hospitality Ulster writes in today's Newsletter: It's a battle for survival and businesses are losing faith

Colin Neill, Chief Executive of Hospitality Ulster

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.

Statement by the Further Education College Principals' Group following NI Executive announcement in relation to teaching

Ken Webb, Chairman of the College Principals’ Group

Ken Webb, Chairman of the College Principals’ Group

Commenting on the announcement by the NI Executive yesterday in relation to teaching in Further Education Colleges, Ken Webb, Chairman of the College Principals’ Group said:

“As Further Education College Principals, we welcome the decision to allow our Colleges to remain open while trying to move as much provision as possible online over the next four weeks. Teaching and learning will continue for our students over this period with classes pausing only for the normal mid-term break.

“We all recognise the significant concern which exists among all our learners, staff and wider community due to the rise in Covid-19. Our staff have worked extremely hard to put extensive measures in place across our campuses to suppress the transmission of the virus and the health and safety of everyone remains paramount.  

“At the beginning of the pandemic, the FE Colleges quickly and successfully moved to provide a range of models of learning that included online delivery to students and as a result we are in an excellent position to respond to the request to maximise online learning. However, for certain learners and those completing skills based programmes including apprenticeships face to face delivery is unavoidable. To this end, we welcome the approach by the NI Executive to allow these learners and others where online delivery is not suitable, the opportunity to continue their learning in a safe and controlled environment.

“With the support of the Department for the Economy, the six Regional Colleges over recent weeks have provided laptops and computers to many students to assist them learning online. This intervention will now enable many more students to continue their learning during the period of enhanced Covid-19 restrictions. The Colleges will also support those students with inadequate broadband to avail of the use of College facilities thus ensuring that no-one will be left unsupported during this period. We all have a duty to ensure the societal divide is not exacerbated any further and we are committed to maintaining the significant measures which are in place to deliver onsite and remote learning safely and successfully for all learners.

“We will continue to work with the NI Executive and other stakeholders to minimise the disruption at this time and will ensure that every learner can avail of the necessary teaching required to succeed in the future.”

Implement emergency financial package and a Government / Industry Covid Response Group NOW demands Hospitality Ulster as sector forced to close for greater good

Colin Neill, Chief Executive of Hospitality Ulster

Colin Neill, Chief Executive of Hospitality Ulster

The Chief Executive of Hospitality Ulster has said that the lockdown measures signed off by the Executive and Assembly today will be a complete disaster if it does not come with an immediate emergency financial package to cover all costs of the sector now that it has been forced to shut.

Colin Neill, Chief Executive of Hospitality Ulster reacted:

“This is a situation that we have worked so hard to avoid by doing everything in our power as a sector to ensure we are not the cause of the community spread of the coronavirus.”

“The hospitality sector has led the campaign to implement legally enforceable Covid regulations and has taken blow after blow financially as more and more restrictions have been put in place by the NI Executive.” 

“Let me be clear, now that this lockdown had been signed off, all costs of the sector need to be covered by the government to ensure our people have food on their tables and as many businesses as possible can be preserved.” 

“Unfortunately, it is clear that there will be total business failure for many and a whole host redundancies across the sector. Many businesses do not have the money to pay redundancies and will be forced into bankruptcy when faced with the bill.” 

“The Executive must serve to underwrite this decision and take on the financial responsibility for specifically shutting down the hospitality sector. We don’t want to see a financial gesture, but a significant payment made to all those in the sector that have had their means of making a living stripped away from them for the greater good.”

“With hospitality on the front line of this crisis, we are also calling for the immediate establishment of a joint Government / Industry Covid response group led by the two Junior Ministers who have responsibility for the Covid regulations. We cannot take anymore Covid regulations without industry representation at the table.” 

“I cannot overstate the seriousness of this situation, tens of thousands of jobs and hundreds of businesses are now in free fall.”

NILGA welcomes fresh engagement on UK Shared Prosperity Fund

Derek McCallan, CEO, NILGA

Derek McCallan, CEO, NILGA

Commenting after today’s evidence session on the UK Shared Prosperity Fund with the Northern Ireland Affairs Committee, NILGA Chief Executive Derek McCallan said:

“The evidence provided today from our local government colleague Suzanne Wylie, CEO, Belfast City Council, endorsed by NILGA, highlighted the positive impact EU Structural Funds have had in Northern Ireland over the past twenty years. As a region, Northern Ireland continues to lag behind the other UK and European regions on several economic measures and the purpose of these funds has been to reduce regional disparities in income, wealth and provide opportunities for businesses and communities across this region.

“EU funding has had a considerable and profound impact on the local economy here. Since 2014, the 11 local authorities in collaboration with partner councils and the third sector have delivered substantial local economic development projects totalling over £14million and councils continue to be our closest link within local communities. Therefore, they should have a greater role in ensuring that any new local interventions or programmes are aligned to community plans as set our in the Executive priorities in the Programme for Government.

“For the Shared Prosperity Fund to deliver for our region, it is essential it has local input. With the ongoing delays, it is unlikely to be operational until April 2021, diminishing the opportunity for meaningful consultation with local government and partners into its design. Having engaged with the Ministry for Housing, Communities and Local Government almost two years ago regarding the priorities for the Shared Prosperity Fund, NILGA and SOLACE have had no further update with the expected consultation postponed several times due to Brexit, Covid and now the Comprehensive Spending Review.

“NILGA has repeatedly been asking for clarity on this fund and there is an opportunity now to undertake the preparatory work within Northern Ireland. Councils are ready and willing to play their part as partners in government and we hope that today’s meeting with the Northern Ireland Affairs Committee will be the start of that engagement, which we will take forward through the Partnership Panel mechanism.”