Disappointing stimulus leaves hospitality SMEs out in the cold

Lack of Vat relief, pricey loans and a staycation subsidy will not help firms for whom trading is down by up to 90 per cent

26th July, 2020
Disappointing stimulus leaves hospitality SMEs out in the cold
Lorraine Sweeney: ‘The business loans in the package are described as low interest, but 4 or 5 per cent doesn’t look like low interest to me.’ Picture: Fergal Phillips

My initial thoughts are that the July stimulus package is disappointing. I find myself relating to something Mary Lou McDonald said: that the measures are miserly, cumbersome and clumsy.

In the hotel and tourism sector we expected that the Vat rate would drop dramatically. Britain dropped its rate to 5 per cent, and the fact that our government didn’t reduce the Vat for the hospitality sector is going to cause carnage.

The staycation subsidy...

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