Nightclubs and bars "risk extinction" unless granted support and a road map for reopening

Britain’s nighttime economy “risks extinction” unless it is handed assistance from Government with tens of thousands of jobs at risk, MPs have warned.

A group of cross party MPs today published the findings of an inquiry which showed the sector was set for irreversible losses that would create “ghost towns” across country and hinder the wider economic recovery.

The MPs urge the Prime Minister and Chancellor to bring forward a sector-specific grant package and a detailed roadmap for reopening pubs, bars and nightclubs, many of which have been closed for 11 months.

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On Monday, Boris Johnson hinted during a Downing Street press conference that rapid testing could be used to help venues like nightclubs reopen.

Clubs have been shut for monthsClubs have been shut for months
Clubs have been shut for months

However a group of 40 MPs has issued a report warning that 85 per cent of people working in the night-time economy are considering leaving the industry and 78 per cent of those employed in the sector have at some point been on furlough.

During the second half of last year the turnover of business in night time economy was just over a quarter of what it was pre-Covid.

Labour MP Jeff Smith (Manchester Withington), a former DJ and chairman of the All-Party Parliamentary Group for the Night Time Economy, said: “Our world-leading nightclubs, pubs, bars, and live music venues are cornerstones of our communities. “They drive so much economic activity both locally and nationally, and bring hope, joy and entertainment to millions across the UK.

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“Our findings today reveal this industry is on its knees, in desperate need of additional support from the Government and a concrete plan for reopening.

“Without these interventions, many of these viable businesses will go under, leaving city and town centres resembling ghost towns.

“If the Government is serious about its ‘levelling up’ agenda it must act now to save this sector and avoid untold damage to the social fabric of this country.”

The study recommended extending furlough, as well as business rate and VAT relief throughout 2021, as well as a Treasury-backed scheme to boost demand once restrictions are eased.

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Michael Kill, chief executive of the Night Time Industries Association, said Covid-19 has had a “devastating impact” on the sector.

“Every day I speak with the dedicated people that make up this industry – from artists to engineers, bar staff to security, and production to promoters – they have shown great resilience in the face of adversity.

“But resilience only gets you so far without the required support.

“We need more assistance and a detailed plan for reopening now. Otherwise, much of what defines a night out in the UK will be lost forever.”

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A Government spokesman said: “The Prime Minister will set out our plan on Monday February 22 for reopening our economy in a way that is cautious but also irreversible.

“Nightclubs can continue to access our comprehensive package of business support worth over £280 billion, which includes a one-off grant of up to £9,000, monthly grants of up to £3,000, various loan schemes, a business rates holiday, as well as the exte

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