'Hospitality still hasn't recovered from Covid'

A restaurant owner in Liverpool said his business has still "never recovered" from the coronavirus pandemic while the hospitality industry continues to face one hurdle after another.

Peter Kinsella, who runs Lunya in the city centre, said planned government changes to rates were "not really giving us actual practical help".

He said factors including Brexit, the aftermath of Covid and the rising cost of living had left the industry "bouncing on the bottom trying to survive from day-to-day".

"Everyday somewhere we see a really good cafe, bar, restaurant or pub closing," he said.

"And these aren't unsuccessful businesses run by incompetent people, they are really successful businesses that are coping with the legacy of not just of Covid but the way the world is has changed."

Kinsella said his business was still paying off a coronavirus loan and consumer behaviour had changed "enormously" since the pandemic.

"I think fewer people come into town, they spend less when they do and they visit restaurants less," he said.

He also utility cost increases had added to the squeeze with hikes in the cost of fuel, utilities along with other operating costs.

"We need to be given a little bit of a temporary support to get through," he said.

His comments come as local businesses groups Liverpool Business District and Downtown in Business launched a campaign calling on the government for more support for the visitor economy.

"Anything which draws attention to the impact of the hospitality industry is really important," Kinsella said.

"Especially here in Liverpool where we are such a massive contributor to the local economy and a massive contributor to local employment.

"VAT is the biggie, VAT is immediate if it the government announced today they are reducing the VAT on eating out and going out our industry can do it immediately and it gives us that immediate help."

His concerns are also echoed elsewhere, including Southport, where local Liberal Democrats are bringing a motion to the council calling for urgent national action to the borough's hospitality industry.

Councillor Mike Sammon wants the council to press the government for a temporary cut to VAT for hospitality and a reversal of the recent increase in Employer National Insurance contributions.

"Hospitality businesses are the backbone of our town centres and villages, especially here in Southport," Sammon said.

The motion will be considered at a Sefton Council meeting on 15 January.

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