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Pandemic Hospitality Update Winter 2021

hospitalityNearly 300,000 jobs in the UK hospitality sector were lost between February and November last year.  Over £53 billion was also lost in year-on-year revenue between April and September.  The lack of Christmas trading will be an additional huge loss.

According to the IWSR, global sales of alcohol fell by 8% in 2020 whilst the UK Off trade alcohol sales grew by over 16%.

The American Beverages Licensees group has warned that the US pandemic funding bill has failed to provide sufficient support to save their bars and restaurants.  Over 909,000 jobs in the sector have already been lost and 110,000 restaurants closed.

An All Party Parliamentary Group has been formed to address the problems faced by the UK night-time economy which is facing collapse.  MPs have voted in favour of creating a Minister for Hospitality following the submission of a petition with over 200,000 signatures.  A £1,000 grant has been agreed for all drinks led venues that have been forced to close.

UK based charity The Drinks Trust has provided £1.2m this year in support of industry workers.  They have also launched an online networking platform called the Drinks Community for members of the trade to connect and share information.

The World Spirits Report expects the trade to recover by the end of 2022 and then we will see something akin to the ‘Roaring 20s’ when hedonistic revelling followed the end of the Spanish flu pandemic.  UK Freixenet Copestick has shown its confidence in the future of the industry by purchasing On Trade wine merchant Jascots.

Our Autumn industry update can be read here.