Revenues across the hospitality industry will likely slump by 41% in the fourth or Christmas quarter, according to a survey by accountants Crowe and the Restaurants Association, who called for a cut in the Vat rate and an extension of wage supports in next week's budget. There could also be worse to come for businesses as restaurants face €17,200 in costs to reopen following new restrictions, the business group said, adding that only a minority of restaurants have secured landlord rent cuts. Meanwhile, Food Drink Ireland, an Ibec business group, said the budget will have to deliver "exceptional" measures to help the beleaguered sector amid the Covid-19 sector. Such measures should include tapping the €4bn in Brexit contingency funds and more state aid, Paul Kelly, director of the business group, said. It also said measures to help agri-food, hospitality, and tourism will be required, including a cut in the Vat hospitality rate to zero for a short period.

Source: Irish Examiner October 07, 2020 17:15 UTC