Luke has written to the Treasury to urge swift financial support for small businesses in the South West as the levels of the Omicron variant begin to surge.  

Many local businesses in the tourism and hospitality sectors have reported cancelled bookings and lost income following the government’s announcements around reducing in-person socialising. Luke warns that many are already “running on empty after two years of pain”. He calls on the government to “match economic health measures with economic support”.  

In addition to cancelled bookings, small businesses are also facing increased costs as more staff are likely to require sick pay and paying additional staff to cover these shifts. Unexpected extra costs could force many otherwise viable companies out of business this winter.

Recruitment has been a challenge for many small businesses throughout the pandemic. In October 2021, over half of medium-sized businesses in the South West reported difficulties in hiring appropriate staff.  

Plymouth now has the third highest Covid infection rate in the country, according to Public Health England. Cases are also rising rapidly in Cornwall.  

Luke said:  

“Plymouth businesses need help now. Government is discouraging people from going out but are refusing to provide support to the businesses who will suffer. I want the Chancellor to introduce support measures in the next few days or it may be too late for many small businesses losing out on Christmas and New Year income after the two years of pain they have already endured because of the pandemic. 

No one would wish for another wave, but now it is here, we must face it head on by doing the right thing to slow the spread and supporting livelihoods. On behalf of the small businesses in tourism and hospitality I represent, I am calling on the Chancellor to act and act now.”

Dear Chancellor,

Plymouth’s small businesses need your urgent assistance. The surging levels of Omicron variant means that many businesses in tourism and hospitality have seen bookings cancelled, business lost and income decimated at this important time of the year. I have spoken with a large number of small businesses in Plymouth who have voiced their fears following the Government’s announcements around reducing in-person socialising. Public health measures must be matched by economic support. That is not happening and it must.

Businesses in Plymouth have told me there has been an increased number of crucial Christmas reservations cancelled. Small businesses are also worried about the increased costs they are likely to face due to a high number of staff requiring sick pay and paying additional staff to cover these shifts.

The Government listened to businesses and the Opposition in the past and introduced the Furlough scheme and other support for small businesses in particular. I urge you to look again at your refusal to do that this time. Many businesses are already running on empty with mounting debt, and the sudden loss of business at a critical time could force many otherwise viable companies out of business.

I urge you to introduce support measures in the next few days or it may be too late for many small businesses losing out on Christmas and New Year income after the two years of pain they have already endured because of the pandemic. No one would wish for another wave, but now it is here, we must face it head on by doing the right thing to slow the spread and supporting livelihoods. On behalf of the small businesses in tourism and hospitality I represent, please act swiftly.

 Best wishes,

Luke