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Turpin Smale   - Our March 2021 Perspective


8 Mar 2021 by Charles Manners

Government policy now clearer, roadmap is clear but at a disappointing pace,

No earlier than 12 April:

  • All shops allowed to open and  restaurants and pub gardens will be allowed to serve customers sitting outdoors, including alcohol
  • Gyms and spas can reopen for individuals and households
  • UK domestic holidays away from home permitted, with self-contained accommodation able to reopen for use by members of the same household
  • Zoos, theme parks and drive-in cinemas can reopen
  • Weddings attended by up to 15 people can take place

No earlier than 17 May:

  • People can meet in groups of up to 30 outdoors
  • Six people or two households can meet indoors
  • Pubs, restaurants and other hospitality venues can seat customers indoors

What is becoming clear

  • Consumer confidence will we believe respond to the lifting of restrictions, there is anecdotal evidence of pent-up demand
  • Encouraging staff to join or re-deploy into the industry will be challenging
  • Customers now much more comfortable with technology, businesses will take advantages of customer familiarity and knowledge

What businesses are doing

  • Businesses have been maximising income streams, take away food and drink, food deliveries, shops, cook at home recipes, use of facilities for other activities
  • Menus and supply chains have been simplified (localised) and this trend will continue
  • COVID – 19 has made us more agile and flexible and we are making decisions more quickly
  • Businesses are looking at the effects of the government roadmap and taking the lessons learnt from the past

Planning for the future

  • In the initial short term, the dining experience will continue to be compromised, by the need for improved cleaning protocols, design and space management
  • Businesses need to have robust plans to manage any potential future lockdowns
  • Hospitality needs a stronger voice in government, it is worth, directly and indirectly c£160 billion to the UK economy
  • We need to encourage job seekers to re-join our industry to plug the gaps that Covid has created
  • The budget announcements are welcome the Furlough scheme extended until September with employers increasingly required to contribute; VAT in restaurants to stay at 5% to end-September, 12.5% until end March 2022, then 20%; Business rates holiday extended to end June;

What will the future look like

  • Delivery sector will continue to grow through the use of dark kitchens
  • Events will slowly come back, the caution is over any new Covid variant
  • On-line offers and ordering technology will drive change
  • Al-fresco spaces will be highly sought after this summer
  • The growth of hybrid meetings (both attended and online will require investment in technology)
  • The office will return, but with more flexible working with high convenience food offerings
  • Sustainability and food provenance appears to be gaining increasing traction
  • Overseas visitors will take time to return, pessimistically 2024!
  • Restaurants and cafes have to step up their luxury moments as a contrast to home meals
  • Covid has taught us that change can be positive

We as a team are supporting clients in their planning and their remobilisation and planning for the future.

Stay safe - www.turpinsmale.co.uk

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