Almost half of UK’s nighttime economy businesses are barely breaking even.
According to the Night Time Industries Association, operators have been left “emotionally and mentally drained” by continued uncertainty regarding Government support.
Out of the three hundred businesses surveyed, 47.7 per cent are barely breaking even while 24.8 per cent are losing money.
According to the poll, 23 per cent would not last more than a few months under the current operating cost levels. 40.6 per cent of businesses would not last more than two to three months.
As if the COVID pandemic was not enough, UK businesses are facing dramatic cost increases as a result of the European geopolitical conflicts.
There may be some hope, however.
The government introduced an Energy Bill Relief proposal on Sep. 21, 2022.
NTIA CEO Michael Kill states, “If we are to ensure the survival of our sector it remains imperative that the short term relief announced today is extended to 12 months and followed up with further action by the Government in the budget this Friday. Such action must incorporate our core asks, specifically business rates relief and a reduction in VAT across the board.”
The VAT (value-added tax) is the world’s most common form of consumption tax, in place in more than 160 countries, including every economically advanced nation except the United States.
Follow the Night Time Industries Association for updates.
Photo by Johannes Plenio on Unsplash