Meetings sector calls for support as lockdown easing delayed

The meetings sector has said that the delay of up to four weeks in reopening the country following Covid restrictions will cause yet more uncertainty in the meetings and events sector, requiring a further extension of support. Opposition politicians have said businesses in the events sector should not suffer because of the delay.

UK Prime Minister Boris Johnson said this evening that the delay in moving to step four of the reopening plan for England on 21 June as originally proposed was in response to the rapid spread of the Delta variant.

The Delta variant is between 40 and 80 per cent more transmissible than the Alpha variant and is rapidly driving up case numbers with hospitalisations starting to rise. There are currently around 8,000 cases a day, the highest since the end of February, and these are increasing by around 64 per cent each week, the Government said.

“The roadmap has always been led by data and not dates, and the government’s four tests have not been met. In order to offer two vaccine doses to more people, prevent thousands of unnecessary deaths and protect the NHS, step four will be delayed by up to four weeks to Monday 19 July. If the data rapidly improves this could be brought forward to 5 July,” it said.

Meetings and events including conferences are currently capacity limited at 1,000 people or 50 per cent of a venue’s capacity, whichever is lower at indoor events and 4,000 people or 50 per cent of a site or venue’s capacity, whichever is lower at outdoor events.

However, many planners have held off arranging meetings and events until the final stage of reopening.

Juliet Price, consultant executive director of HBAA, said, “The Chancellor must treat meetings, events and accommodation sector businesses as a special exception and immediately extend the 80 per cent furlough payment and business rates reduction until at least the end of July. Businesses in the sector need this to help them survive the four-week delay in reopening.

“While safety comes first, this delay comes just as CBILS repayments commence, business rates and rents are due, furlough payment contributions by employers are increasing and many staff are expected back from furlough.

“Unlike bars, restaurants and many other hospitality businesses that will immediately have extra cash in their tills as soon as they are fully open once more, many agencies and venues will have very little income until September or beyond before clients pay their invoices – but before then they will have to pay rent, rates and salaries for staff organising meetings and events. This comes on top of many months of delayed income from postponements and cancellations.

“Speaking to HBAA members and contacts across the industry, we are being told that many event planners are waiting for the remaining restrictions to be lifted before they will sign contracts. This continued uncertainty is adding further pressure on their ability to plan their resources and finances.”

Adam Simpson, director of marketing at etc.venues, said “Our frustration is that we have £6 million worth of business events provisionally contracted and waiting to be confirmed once the final stage of the roadmap is given the go-ahead.

“We’re ready with safe venues  - we just need the government to give customers the extra confidence by lifting the restrictions.”

Britain's Labour Party has blamed the country's border policy for the delay in reopening.          

Ed Miliband MP, Labour’s shadow business secretary, said: “It would be wrong for businesses to suffer because of the Government's poor handling of our borders and failure to contain the new variant.  

"There is a cloud of deep anxiety and uncertainty hanging over many businesses worrying about their futures and whether economic support will be removed whilst they are still unable to trade or profit. It’s right we remain guided by the science in the decisions that are made today, but the price of any delay to the roadmap must not be paid by businesses.  

“Night clubs and live music venues, many restaurants and bars, the events, arts and wedding industries are still seriously affected by restrictions, but they have repeatedly been left in the dark about economic support.

“Economic measures must remain in step with public health restrictions. The Government must treat businesses with respect and provide the detail and clarity they are crying out for today.”