Covid: £40m hospitality fund for Liverpool city region

New Covid-19 restrictions have come into force in the Liverpool City Region

A £40m emergency fund is being set up to help businesses in the Liverpool City Region hit by the coronavirus pandemic.

The money has been set aside for firms in the hospitality sector, which supports over 50,000 jobs.

The combined authority's metro mayor, mayor and its six council leaders have warned of "economic collapse" due to continued lockdowns.

Tighter Covid-19 restrictions have come into force in the region.

It is now illegal to meet people indoors from other households in the Liverpool City Region, including including in pubs, bars and restaurants which are already forced to close at 22:00 under a wider government-imposed curfew.

Restaurants and bars have to close at 22:00

Businesses will be able to bid for financial help from the new fund which is planned as a "stop-gap" measure.

The council leaders said in a joint statement that over 200 businesses in the sector have already been lost in the wake of coronavirus and the new restrictions were a "hammer blow".

They said: "The new Covid-19 restrictions will make the already perilous situation for our economy even tougher than it already is

"We want to send a message to those businesses that we understand the pain you are going through, your fight to survive and that we stand with you."

Metro Mayor Steve Rotheram said it is "vital" that the hospitality sector is helped

Metro Mayor Steve Rotheram told the BBC: "It is really important that we can do everything that we can do in our power before central government steps up to the plate to save as many of those jobs and businesses in our area.

"This is only a fraction of what we need."