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Chancellor’s generosity questioned by hospitality

December 22, 2021

By Denis Sheehan

Chancellor’s generosity questioned by hospitality

The PM’s announcement of his Omicron emergency on 7 December caused widespread panic amongst consumers in the run up to Christmas. This panic in turn has seen hospitality businesses pay the price for the PM’s declaration through cancellations.

The lack of any preparation by the PM to manage the outcomes of such an announcement whilst totally irresponsible, was hardly a surprise, the idea most likely came to him in a flash and he acted on it, without any thought for anything other than diverting attention away from avid reporting of his misdemeanour’s at the time.

What was surprising, was the absence of the chancellor until yesterday, and the continued lack of any ‘industrial strategy’ from the Secretary of State for Business, Energy and Industrial Strategy, Kwasi Kwarteng.

The chancellor yesterday announced £1bn being made available for cash grants of up to £6,000 per premises for eligible businesses. Government would also fund the cost of sick pay for Covid-related absences.

Grants will be available through local authorities and payments are scaled from £2,700 – £6,000, but no dates have been set to the scheme detailing when to apply or payment dates.

How far grants of £2,700 – £6,000 go towards helping businesses that have already lost the best part of their busiest month of trading, and face the prospect of further restrictions following Christmas does not need too much thought.

The action by the chancellor to do something rather than maintain his invisibility was nothing more than a political gesture, a drop in an ocean of economic woe being endured by hospitality and its supply chain.

Following the chancellor’s announcement yesterday, UKHospitality reacted with a statement applauding the chancellor’s “generosity”.  The reaction from hospitality businesses to the UKH statement was immediate, stark, and in some instances toxic.

The sentiment of generosity was unique to UKH yesterday, so when they took to twitter to broadcast that message eyebrows were raised as well as the patience of many. The tweet and the reactions can be seen here.

The reactions were immediate, in many instances most likely purely emotional, but there is no excuse for many that were simply rude and derogatory. UKH and Kate Nicholls do much for hospitality, and many would do well to review the score card more closely than lambast people trying to do their best in difficult times.

The Institute of Hospitality Golf Day, in association with Caterer.com launched today

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