Covid lockdown: Businesses 'crushed' by new England shutdown

Non-essential shops have to close as part of the national lockdown

The new lockdown in England will leave firms feeling "utterly crushed", a business leader has said.

Katrina Pierce, from the Federation of Small Businesses in Lincolnshire, said the lockdown would leave a number of firms fearing for the future.

Claire Pollard, who runs the Chop Shop salon in Grimsby, said she had not received any pay since August and was "devastated" by the announcement.

Ms Pollard said the closure would have a "massive impact" on the town.

Some businesses are calling on the government to provide more support after the prime minister announced the third national lockdown on Monday, forcing many shops to shut.

"I'm devastated really," Ms Pollard said.

"It's had a massive impact on our business as it has across the whole of the town, but it's something we have to do.

"I understand it's what we've got to do to protect ourselves, our staff and our community.

"We could more or less write this year's takings off. Me and my business partner haven't been paid since August, but we will recover from it, we will come back.

"We've worked too hard to get where we are now to just let it go."

Claire Pollard said she had not taken any pay from her hairdressing business since August

Nigel Dibb, chairman of the Hull, Humber and East Yorkshire Hospitality Association, said hotels, restaurants and other hospitality businesses were having "a really tough year".

He said it was inevitable that some businesses would struggle after missing out on the usual spending during the Christmas period.

"It's been stop and start right the way through 2020 and obviously now into 2021," he said.

"We just have to continue to remain positive."

Chancellor Rishi Sunak unveiled a range of financial support for businesses, including grants of up to £9,000 for the retail, hospitality and leisure industry.

Mr Sunak also pledged a further £594m for local authorities and devolved administrations to support businesses not eligible for the grants.

The help is in addition to business rates relief and the furlough scheme, which has been extended until the end of April.

'Utterly crushed'

Ms Pierce welcomed the news of the support package but said it would only help around 10% of businesses.

"It's good news, but it can only be a jumping off point," she said.

"There are still far too many businesses in trouble that are excluded from this support."

Ms Pierce said it was difficult to say how many businesses would survive the lockdown.

"They're going to be feeling extremely disappointed, if not utterly crushed, that they can't open their doors, they can't do their work and crucially they can't get in any income," she added.

"The grants will go a certain way to reassuring them there's some money in the bank, but realistically a lot ofthose grants aren't going to be enough alone to help many get through."