Today’s announcement on tighter restrictions for hospitality and indoor entertainment centres across Wales will be a ’devastating blow’ for all concerned says the Federation of Small Businesses

Commenting on the restrictions that will be applied to the hospitality industry, Ben Francis, FSB (Federation of Small Businesses) Wales policy chair, said: “There is no getting away from the fact that today’s announcement will come as a devastating blow to those indoor entertainment and hospitality firms that have fought tooth and nail to protect jobs, remain viable and provide a safe environment for their staff and customers this year.’’

The new restrictions mean pubs, bars and restaurants cannot sell alcohol from 6pm on Friday and indoor entertainment centres will have to close.

’’For many, having a successful run-in to Christmas would have been vital to keeping the business going through the winter,’’ said Mr Francis.

“The support package announced by the First Minister will be very welcome. It is important to remember that there are going to be supply chain businesses that will feel the serious impacts of these new measures and it is vital that they are able to benefit from financial support.

“It will be incredibly important that this funding can be rolled out as a matter of urgency – businesses will now be in a position that means that they are entirely reliant on this financial support in order to weather the winter.

’’Funding must be accessible, readily available and paid in the quickest possible time so that it can get into the hands of those where it will make a real difference.

“The sector-specific support for tourism, hospitality and leisure businesses is very welcome and, again, if done right will support the sectors that have faced the economic brunt of the crisis.

’’However, lessons must be learned from the roll-out of the Development Grant which left many businesses confused and disappointed. We cannot afford to get this wrong and hope that this application process will prove to be smoother.

“We would urge Welsh Government to ensure that the funding that is available will be rolled-out in way that ensures it can make a meaningful difference to businesses who were relying on a successful December in order to help them stay viable through the winter.”Ian Price, CBI Wales Director, also commented on today's announcement saying: “The First Minister’s announcement is devastating for a Welsh hospitality sector that’s already reeling from a damaging cycle of restrictions. 'Pubs, restaurants and shops that should be buzzing at this time of year now face a hugely uncertain future, with closures and job losses all but guaranteed.“For those firms that have struggled on, the loss of the all-important festive trading period could very well be the last straw. Cash reserves have already been depleted, orders paid for and stock built-up in anticipation of a much-needed festive boost. The respite that many hoped for will not now materialise.“Throughout the pandemic, firms have asked for clear, timely and evidence-based communication around restrictions to help them plan. They want to understand the key data points influencing decisions and to be confident that the severe measures put in place will deliver the desired result. “For the Welsh hospitality sector to weather the storm, additional business support is absolutely critical. Resources must be made available to firms immediately, with clear information and a designated point of contact created to help them access it. Anything less and it will be last orders for the community pubs, restaurants and cafes that we all value so highly.”