Calls for industry support ahead of Spending Review

30-Aug-2019 - Last updated on 30-Aug-2019 at 09:32 GMT

Plea for change: there are many changes the Government could make to help the hospitality industry says UKHospitality

Trade body UKHospitality (UKH) has called for support from the Government ahead of Chancellor of the Exchequer Sajid Javid’s Spending Review next month (Wednesday 4 September).

Firstly, it called on the Government to fix the “broken business rates system” by providing local authority funding of £1.5bn to fund a reduction in the business rates multiplier of 5% for one year; investing in the Valuation Office Agency (VOA) to clear the backlog of appeals resulting from the 2017 revaluation and encourage more appeals to come forward; and ensuring the VOA is suitably resourced to carry out the 2021 revaluation.

It also wants the UK’s tourism sector to be supported with increased investment in overseas markets to promote the nation as a destination of choice, a commitment to developing rural transport infrastructure to boost rural tourism.

UKH also called for industry and local authorities to support sustainable tourism throughout the country with additional funding from central Government where appropriate.

Promote careers

It also claimed the future hospitality workforce can be secured and supported if the Government: reduces the small to medium enterprise (SME) contribution to apprenticeship training to zero and increases the apprenticeship levy top-up from Government to 25%; invests in college education, particularly in the areas of hospitality, catering and tourism; and matches industry resources raised to promote careers in hospitality as committed in the Tourism Sector Deal.

The trade body also wants the Government to expand marketing for the Settled Status scheme to encourage greater take-up and make current EU citizens welcome in the UK; and provides additional resource to the Home Office to ensure it is able to meet the demand.

UKH has urged the Government to: invest heavily in border arrangements to ensure that trade of goods into and out of the UK is as smooth as possible; and ensure tariffs on food and drink products are minimised and, where necessary, use Government funds to ensure that food price inflation is kept under control.

Fantastic opportunity

UKH chief executive Kate Nicholls said: “At a time of political and economic instability, the 2019 Spending Review is a fantastic opportunity to promote growth among hospitality businesses.

“The sector is enormously valuable, in economic terms, but also socially. Hospitality makes a difference in every region and every community in the UK, but some businesses need support during what are difficult times.

“High streets have been hit hard and many businesses are looking ahead anxiously to Brexit. The action we have outlined in our submission could provide valuable support to businesses and the workforce.

“The Government has an opportunity to support hugely valuable businesses and provide opportunities for the millions working in our sector. We urge the Government to listen and act now to boost hospitality.”