Covid pub rules 'killing Christmas not saving it'

The UK hospitality industry says that new Covid rules in England "are killing Christmas" and has warned pubs, restaurants and hotels face going bust.

The government will roll out regional restrictions after Prime Minister Boris Johnson confirmed the second lockdown in England will end on 2 December.

But new rules mean pubs operating under Tier 2 can only trade if customers have a "substantial meal".

In Tier 3, pubs must shut and can only sell goods for takeaway.

In contrast, gyms will be allowed to stay open under Tier 3 restrictions while outdoor and indoor spectator sports venues can reopen in Tier 1 and Tier 2 with limits.

Non-essential shops and personal care, such as hairdressers, will also be allowed to reopen when lockdown ends.

Mr Johnson said: "I'm very sorry, obviously, for the unavoidable hardship that this will cause for business owners who have already endured so much disruption this year."

But UK Hospitality's chief executive Kate Nicholls said: "The government is making a point of saying that these measures are needed in order to save Christmas.

"In reality, they are killing Christmas and beyond for many businesses and their customers who look forward to, and rely on, venues being open at this time of year. Sadly, for many staff, it will be a Christmas out of work."

The government also said it would ditch the 10pm curfew. However, pubs and restaurants must stop serving alcohol and food at 10pm and customers will have until 11pm to leave the premises.

Ms Nicholls said that under the rules that were in place before the current lockdown came into force on 5 November, some 76% of its members warned their business "would not be viable" if Tier 2 restrictions remained in placed for three months.

That number rose to 94% under the previous Tier 3 rules which stated that pubs could only stay open if they offered a substantial meal.

But she said under the new rules "large swathes will just not be able to open at all".

It's beginning to look a BIT like Christmas for some parts of the economy.

For retailers considered non-essential, reopening on 3 December was absolutely crucial. That industry will be breathing a huge sigh of relief as they will now have an opportunity - albeit truncated - to sell the Christmas stock they have bought in.

Industry sources told the BBC that although there had been a huge switch in consumer behaviour to internet shopping, the online pipe was still not wide enough to deliver Christmas on its own and the decision to reopen stores would help preserve hundreds of thousands of jobs.

However, the hospitality industry is still looking at a very bleak winter.

The prime minister said most of the UK would emerge from various forms of lockdown into a higher tier than they were in before it started. That is a disaster for pubs and restaurants. with 76% of them saying that even under the old Tier 2 conditions - in the middle - it was hardly worth opening as capacity was so constrained and alcohol sales so limited.

UK Hospitality, which represents the sector, said the return to this would be "devastating" and risk one million jobs.

The hospitality hit may have a knock-on effect on retailers as fewer shoppers are expected to take the streets if access to pubs, bars and restaurants is heavily restricted.

MPs will vote on the proposed rules this week. Mr Johnson is expected to detail which regions in England will be placed into either Tier 1, 2 or 3 on Thursday.

Mr Johnson said that "without sensible precautions, we would risk the virus escalating into a winter or new year surge. The incidence of the disease is still, alas, widespread in many areas."

He said: "While the previous local tiers did cut the 'R' number, they were not quite enough to reduce it below 1 so the scientific advice I'm afraid is that as we come out [of lockdown] our tiers need to be made tougher."

But Greater Manchester's Mayor Andy Burnham said a toughened Tier 3 "could be devastating for the hospitality industry and will hit cities and the city economy very, very hard indeed".

He warned that "we will see widespread business failure" in the hospitality sector if the tougher regional rules go ahead.

Labour leader Sir Keir Starmer urged Mr Johnson to outline which regions would be placed into which tier as soon as possible.

William Lees-Jones, managing-director of the brewery and pub chain JW Lees, said: "I just hope that we are all in Tier 2 which means that we can be in business.

"We've brewed an awful lot of beer which we won't have anything to do with."