‘Closing bars at 10pm cuts your income in half’

Closing pubs early may not seem like a big step, but the hospitality industry is warning it will have a devastating impact on the industry.

“People have this vision, they are just some guys standing in a bar at 10.30. What does it matter?” says Oliver Vaulkhard, who runs locations in the North East of England.

“10 o’clock doesn’t sound terrible, but it cuts your income in half,” he said.

The new rules go into effect in England on Thursday.

All pubs, bars, restaurants and other hospitality venues in England must close at 10pm. Prime Minister Boris Johnson said this will mean “shutting down and not just asking for the last orders.”

Businesses should also ensure that customers are served at tables of no more than six people and that groups are not allowed to mix.

Pub owners say the earlier closure will be “absolutely devastating” for some venues and will affect revenue not just at nightclubs, but also at restaurants.

“You can seat people between 7 and 7:30 pm and when they leave, they leave. You can’t make 9 o’clock sit down,” Vaulkhard told BBC Radio 5 Live.

The Vaulkhard Group only has six of its 15 locations currently open; Its music venues and nightclubs remain closed and those that are open were trading around 60% until last week.

Tighter restrictions already introduced in the Northeast to limit the spread of the virus had cut collections over the weekend again by half, Vaulkhard said.

Free mix

On Monday, government health and scientific advisers warned of a sharp increase in coronavirus cases in the coming weeks if no further steps were taken to limit its spread, in the worst case, reaching 50,000 new cases a day since. mid october.

The nighttime economy is considered a high-risk area for the spread of the virus, because people adhere to the rules less strictly after consuming alcohol and in places where they are used to mixing freely.

Cabinet Office Minister Michael Gove told BBC Breakfast there was evidence that the closing time at 10pm has had a “beneficial effect” in areas where the restriction has already been tested, such as Bolton.

But the Night Industries Association said that if pubs and bars were to close at 10pm, there would likely be “a wave of unregulated events and house parties that are the real sources of infection.”

Scotland’s Prime Minister Nicola Sturgeon is due to make an announcement about new restrictions in Scotland later, which could also include curfews on hospitality venues. Pubs are due to close by 11pm already in the six counties that are under tighter lockdown measures in Wales.

Early doors

“People will think it is not that important, but it will have a very big economic impact and a real impact on employment,” said Kate Nicholls, chief executive of trade body UK Hospitality.

“In effect, it cuts revenue by 50% because you have to call the last food orders at nine to get people out the door,” he said.

The curfew could cause some places to close completely, according to Martin Wolstencroft, who runs Arc Inspirations, which runs 17 bars and restaurants in Leeds, Manchester, York and Newcastle.

“This will be the last nail in the coffin for many,” he told the BBC.

“It’s so frustrating, so negative. After 10 o’clock is really when we start making money because that’s when we start to get busier.”