Mini-budget: MasterChef winner frightened for future of hospitality

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Simon WoodImage source, BBC/Shine TV
Image caption,

Mr Wood said the "lack of an announcement on VAT or business rates means we've got nowhere to go"

MasterChef winner and restaurateur Simon Wood has warned the hospitality industry will "fall to its knees" without more government support.

The chef said he was "frightened" for the future of his Manchester restaurant and wants VAT and business rate relief.

His comments follow criticism of Chancellor Kwasi Kwarteng's mini-budget by industry leaders, who said it offered little to help.

The Treasury said support was available through the energy bill relief scheme.

Speaking in the House of Commons on Friday, Mr Kwarteng confirmed a number of tax cuts and support on energy bills, but VAT relief and business rate reform did not feature.

Sacha Lord, Greater Manchester's night-time economy adviser, said the omission would mean "last orders" for thousands of businesses.

"I'm in contact with hundreds of people in the industry and we're just in shock, we're speechless about today's announcements," he said.

Image source, Reuters
Image caption,

Mr Kwarteng confirmed tax cuts and support on energy bills, but VAT relief and business rate reform did not feature

He said the sector felt like it had been "sidelined" and "two well-known venues in Manchester" had already told him they were going to close.

"Many restaurants and bars are operating at a loss at the moment, so unfortunately we are going to be seeing more closing," he said.

"That won't just be mean hospitality suffering, it will impact the supply chain and the whole city's economy."

Mr Wood, who won the BBC series in 2015, said many venues "will not make it through the winter" without an additional support package.

He said his business "cannot survive with the way things are at the moment" and was in "dire straits".

"The industry will fall to its knees without more support," he said.

"Honestly, I am frightened.

"The lack of an announcement on VAT or business rates means we've got nowhere to go.

"For some, it will now be a matter of weeks rather than months before they start closing."

Responding to the comments, the Treasury said support was being provided through the energy bill relief scheme and business rates relief of up to 50% was currently available for eligible retail, hospitality, and leisure properties.

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