Chancellor Rishi Sunak has provided “a much-needed boost for tourism and hospitality businesses in Hastings and Rye” according to local MP Sally-Ann Hart
Measures announced by Mr Sunak earlier today included VAT for hospitality, accommodation and attraction businesses beingcut from 20 per cent to five per cent for six months in a move designed to support the sectors which have been particularly hard hit by the coronavirus crisis and that are particularly important to the local economy.
Mrs Hart has also urged local people to ‘eat out to help out’, following the announcement that the Government will pay for up to 50 per cent of people’s meals out at restaurants, pubs and cafes on Mondays, Tuesdays and Wednesdays throughout August. The Eat Out to Help Out scheme will entitle everyone to a discount of up to 50 per cent on their meal, up to a maximum of £10 per person. Businesses can claim the money back from the Government, which will be paid in five working days. Up to 380 businesses locally could benefit from the move.
“Taken together, these measures will provide a timely and much-needed boost to the tourism and hospitality industries, forming a key part of the Government’s plan for jobs – supporting people to find jobs, creating new jobs and protecting jobs in hard-hit sectors,” Mrs Hart said.
She added: “We should not underestimate how difficult recent months have been for many local businesses in Hastings and Rye. Now that we have together got control of the virus, we must turn our collective attention to creating and protecting jobs.
“I am very pleased with the announcements today which will do so much to give confidence and reassurance to the sectors we are heavily dependent on here on the coast – tourism, hospitality and entertainment.”
Key measures announced by the Chancellor today to kickstart the economy include
- Job Retention Bonus: To help firms keep on furloughed workers, UK Employers will receive a one-off bonus of £1,000 for each furloughed employee who is still employed as of 31 January 2021.
- Kickstart Scheme: A new £2 billion scheme will also be launched to create hundreds of thousands of new, fully subsidised jobs for young people across the country. Those aged 16-24, claiming Universal Credit and at risk of long-term unemployment, will be eligible. Funding available for each six-month job placement will cover 100% of the National Minimum Wage for 25 hours a week – and employers will be able to top this wage up.
- Employment and support schemes: A total of £1.6 billion will be invested in scaling up employment support schemes, training and apprenticeships to help people looking for a job.
- Creating jobs: The plan will also create tens of thousands of jobs through bringing forward work on £8.8 billion of new infrastructure, decarbonisation and maintenance projects. In addition, £5.8 billion will be spent on shovel-ready construction projects to get Britain building.
- Eat Out to Help Out: To encourage people to safely return to eating out at restaurants the Government’s new discount scheme will provide a 50% reduction for sit-down meals in cafes, restaurants and pubs across the UK from Monday to Wednesday every week throughout August 2020.
- VAT: The rate of VAT applied on most tourism and hospitality-related activities will be cut from 20% to 5%.
- Stamp Duty: A temporary increase to the Nil Rate Band of Residential SDLT (Stamp Duty) from £125,000 to £500,000 has been introduced until 31 March 2021.