Support package announced as hospitality sector subject to ‘targeted restrictions’ from Friday

Restaurants, pubs and bars will be banned from selling alcohol and will have to close at 6pm when new restrictions are introduced in Wales this week.

The sale of takeaways and deliveries will be allowed after 6pm from this Friday (December 4).

Indoor entertainment and visitor attractions must also close.

Such businesses have only been open since the start of the month after the end of the Wales-wide firebreak.

The rest of the measures introduced after the firebreak, such as household bubbles and the opening of non-essential retail / hairdressers, can remain open.

First Minister Mark Drakeford announced that the new measures will be introduced in a bid to stop the rise in coronavirus cases.

Speaking at this afternoon’s Welsh Government briefing the first minister said that without tighter restrictions, there could be between 1000 and 1700 “preventable deaths”, according to scientific modelling.

He said: “Unfortunately, the virus is moving incredibly quickly across Wales and is eroding the gains we made during the firebreak period. We now need to take further steps together as a nation to protect people’s health and slow the spread of coronavirus.

“This virus – and this pandemic – continues to be full of unpleasant surprises. It thrives on our normal human behaviour and all those places and opportunities where we come together.

“It underlines why we need to take further, targeted action now. We will focus these changes on places where we meet and where coronavirus thrives, drawing on recent evidence from the UK SAGE group of experts about what interventions have had the biggest impact on the virus.”

£180m of new support has also been announced, with a new range of business rates grants and support based around the number of employees a business has, with the support also aimed at those in the supply chains of the hospitality sector.

It is estimated 10,000 businesses would access this support, with £160m being used to issue business rates grant support.

The Welsh Government is making a further £340m available through the Economic Resilience Fund to support businesses affected by the new changes to the regulations. It will include a specific fund to support hospitality and tourism businesses.

The support is split into two funds: a £160m Restrictions Business Fund and a £180m sector-specific Economic Resilience Fund grant scheme.

The Restrictions Business Fund will enable eligible businesses in the hospitality, tourism and leisure sectors which pay non-domestic rates (NDR) to access grants of up to £5,000.

It is estimated around 60,000 businesses, with a rateable value of under £150,000 will receive this support.

Businesses not on the NDR system, will be able to continue to apply to local authorities for the Lockdown Discretionary Grant of up to £2,000.

In addition, hospitality, tourism and leisure businesses will be able to access a sector specific Economic Resilience Fund grant scheme.

Small and medium sized businesses meeting the criteria could receive up to £100k. Larger Welsh-based businesses could receive up to a maximum of £150k.

This part of the package is expected to support up to 8,000 businesses in these sectors and a further 2,000 in the related supply chains.

Economy Minister Ken Skates said: “These are incredibly difficult days for businesses and these decisions have not been taken lightly.

“We expect today’s £340m announcement to support tens of thousands of businesses and help protect many more jobs and livelihoods. It must also be remembered that UK Government support is also available to businesses.

“We will continue to do everything we can to support our firms and our people through these challenging times.”

More information about the funding and how it can be accessed will be published on the Business Wales website in the coming days.

More information when we have it.