UKHospitality calls for hospitality and tourism recovery fund

UKHospitality has appealed for the formation of a hospitality and tourism recovery fund that would support businesses who are yet to receive any form of government grant.

The industry body is pushing for the fund as many businesses face increasing pressure to close, due to both the second lockdown and the three-tier government restrictions.

The support would be funnelled to those businesses that have received “no grant support” or have been “closed since March”, in an attempt to save the sector.

Kate Nicholls, chief executive at UKHospitality, said: “A hospitality and tourism recovery fund, including rent support to preserve the future of our high streets, would deliver a huge boost to businesses that are only just clinging onto life right when they need it.”

The move comes as Tesco has stated it will repay £585m of its own grant support back to the government, prompting UKHospitality to appeal for this to be redirected to the hospitality industry.

Nicholls added: “It is an admirable and altruistic gesture from a company that is clearly in a much better financial situation than the vast majority of those in hospitality. 

“The question now is what happens to this money, which the government had intended to invest in supporting businesses.”