Calls for relief for struggling hospitality sector

By Julie McNicholls Vale   |   Deputy news editor   |
Friday 17th June 2022 11:52 am
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DWYFOR Meirionnydd MS, Mabon ap Gwynfor, has written to chancellor Rishi Sunak seeking help for the hospitality sector.

Mr ap Gwynfor said he was moved to write the letter after hearing that a hotel in Dwyfor Meirionnydd has received electricity bills for £4,700 a month, based on 17p per unit, and have been notified that their new contract will be around 57p per unit in November.

The hotel, which has asked to remain anonymous, has 33 staff and will have to pay the National Insurance increase.They also use red diesel, but the hospitality and tourism sectors are now banned from using red diesel, so they are having to find alternative fuel and VAT has increased from 12.5 per cent to 20 per cent. Their suppliers have also increased their prices – beer and food for instance.

A drum of cooking oil has increased from £19.99 to £48 for example.

“The hospitality sector has taken a battering over the last couple of years, and staffing continues to be a big problem,” said Mr ap Gwynfor.“The last thing the sector and the staff who work diligently in the sector needs is unnecessary cost increases.

“The government should be there to support the sector not penalise them like they’ve we’ve seen happen over recent months.“

The UK government can reverse these damaging tax hikes and can re-introduce a price cap on energy prices, like they’ve done in France.“While we are seeing energy cost rises across the globe, these are political choices that the government can take here at home.

“Not supporting the sector and those suffering from the cost-of-living crisis is a choice.

“I urge the government to support our people and businesses by reversing these damaging decisions and give urgent assistance during these difficult times.”

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