Friday, 9 October 2020
East Midlands Chamber comments on Government’s extension to Job Support Scheme
Responding to the Government’s extension to the Job Support Scheme to support businesses forced to close due to lockdown restrictions, East Midlands Chamber (Derbyshire, Nottinghamshire, Leicestershire) director of policy and external affairs Chris Hobson said: “While the Government is yet to confirm any further lockdown restrictions, the targeted extension to the Job Support Scheme sets a clear trajectory of decision-making that could have a significant impact on the beleaguered hospitality industry.
“For affected businesses, it is good news that they won’t need to cover the cost of wages or make redundancies when they’re forced to shut. It’s also a welcome development for employers to be aware of the financial support available to them before any restrictions are imposed, which hasn’t always been the case during this pandemic.
“However, it’s important to note that businesses in the hospitality industry – and their supply chains, which won’t necessarily be covered be this – work to very tight margins.
“Many will lose money they have spent on perishable goods, as well as on implementing safety procedures, not to mention the ongoing costs of running a business and having a property. For many, the £3,000 monthly grant will only go part way to covering losses incurred.
“Ultimately for business, there is no amount of support that is an adequate substitute for being able to open and operate safely. Government focus and efforts must be placed on putting in place the necessary measures that will allow the economy to get open and stay open.”Back