Social Distancing Restrictions: Support for the Night-Time Economy

[Stewart Hosie in the Chair]

I remind Members that we have made some changes to normal practice in order to support the new hybrid arrangements. Members attending physically should clean their spaces before they use them and as they leave the room. Mr Speaker has stated that masks should be worn in Westminster Hall, except when you are speaking.

I beg to move,

That this House has considered social distancing restrictions and support for the night-time economy.

I asked for today’s debate because I am vice-chair of the all-party parliamentary group for the night time economy. As the Member for Brighton, Kemptown, I also represent a large and diverse number of venues, bars and clubs. Not only am I the MP but, like many Members, I am a patron of many of the venues in my constituency, such as Revenge and Legends, and I miss my nights out with my friends as much as I know the venues miss having us. When I talk to bar and club owners, they tell me the same thing: the uncertainty is killing them.

On 16 December, when covid cases were spiralling out of control, the Prime Minister insisted it would be “inhuman” to cancel Christmas, and he gave every assurance that it would go ahead. Pubs and restaurants had their staff hired, and the stockrooms were full and ready for a shortened Christmas season. On 19 December, just three days later, and after saying it would be inhuman, the Prime Minister cancelled Christmas. I do not say that he made the wrong call in locking us down. History will show that he was right to do so or, if not, that he should have done it earlier.

I raise what happened in December because I worry that we are repeating ourselves. The Prime Minister bumbles away through his interviews, assuring the nation that everything will be just fine with the road map on 21 June. Meanwhile, we have Whitehall officials briefing today’s papers that the date will be pushed back. What is it? My fear is that the harsh reality will catch up with the Prime Minister yet again and he will have to acknowledge what we already know: the 21 June deadline might have to be pushed back a few weeks to get everyone vaccinated. Those who will suffer are the workers and businesses who have trusted in good faith that they should work towards that date, although—granted—no cast-iron guarantee has ever been given.

The Night Time Industries Association conducted a survey of its members. Nine in 10 businesses fear that a delay in the full reopening of nightlife would threaten their survival; 85% require at least two weeks’ notice to open up, and over a third said they need four; 95% have already made financial commitments; on the logistics of opening up on the 21st, 54% have already ordered stock—as a real ale man, I know that that stock goes off incredibly quickly, so it has to be used in time; 73% of businesses have called in staff; 60% have sold tickets; 64% have booked entertainment; and 80% have already spent finances on marketing and promotional materials.

Louise from the Camel Club, a family nightclub in Huddersfield, told our APPG that she does not know under what conditions the nightclub will be able to open. She does not even have a rough idea of the direction that it will be going in. For example, when it opens, is social distancing likely to be required? What other rough ideas will be given? This has made it extremely difficult to even prepare. She is plucking things out of thin air rather than at least following guidelines that could change. That makes things difficult operationally and financially, so what guidelines can be issued so that clubs can at least work towards a general direction? Will they be able to open on the 21st? If not, can there be reassurances that financial support will be offered?

It is a pleasure to serve under your chairmanship, Mr Hosie. I congratulate the hon. Member for Brighton, Kemptown (Lloyd Russell-Moyle) on securing today’s important debate. I thank him for his work and all those colleagues on the all-party parliamentary group for the night time economy, which is a hugely important sector, culturally, economically and for people’s wellbeing.

This area of the economy is being hard-pressed because it is not a binary situation like retail, which is either open or not—obviously there are measures within, but on the whole it is either open or not open. Clearly, restrictions are being put on the hospitality sector, the night-time economy and the wider hospitality sector, such as weddings, and that is happening at a cost, with extra staffing and reduced capacity for those venues. They have been incredibly hard-pressed.

The sector also creates millions of local jobs. Many sectors and industries within hospitality—events and entertainment, healthcare, security, cleaning, transport, logistics, retail, health and fitness centres—are all part of the hospitality ecosystem. The sector is also key in driving other vital sectors of the economy, including tourism, entertainment, the arts and cultural activities, such as theatres and comedy clubs. We recognise the huge disruptions that the covid-19 pandemic has caused to people’s lives. It has presented unprecedented challenges to those sectors.

The Prime Minister’s road map is an important step towards reopening the night-time economy, but we need to be driven by the data and proceed cautiously towards step four. That is why we have opened the economy in gradual steps, as it is vital that we do not jeopardise the success of the vaccination programme. I hope this debate will go some way to restoring public confidence and kick-starting recovery for the industry to make sure that people in the sector know that everybody in this place, from either side of the House, is fully committed to making sure that we can restore our night-time industry.

First, I congratulate the hon. Member for Brighton, Kemptown (Lloyd Russell-Moyle) on bringing the matter forward. He is right; it is the uncertainty. We understand the issues to do with the timescale and then it falls back, but I want to make a plea, to back up the hon. Gentleman, for those workers. In my constituency, I know that some have had real uncertainty over the future of their jobs. First, they are on furlough. Then, they are off furlough. Then, something else happens and they find themselves off furlough and they cannot get back on again. Can the Minister say what consideration the Government have given for businesses that have furloughed some of their staff, have taken them off with an option of opening and then find themselves in the predicament where they wish they had not taken them off furlough to start with? Also, what discussion has the Minister had with the devolved Administrations?

That is an interesting point. I am grateful for the hon. Gentleman’s intervention. It is a really important point. I will come back to staffing overall in a second. He is right. I have had some interesting discussions with the hospitality sector over the past week or two, since the last reopening, when they have been looking at staffing issues. A number of people have come up with different ways of covering the staff shortages they have outlined. First, it is difficult to get some people back from furlough, because they are happy and prefer to be on furlough. They may be cautious about coming back to the workplace and have not the confidence to do so.

There are clearly some people who have left the country, especially in London and the likes of Brighton, where we rely on a significant number of workers from Europe and around the world. There are rural and coastal areas where businesses struggle to find people in general. There are also people on furlough who may have been running two jobs and have made a choice. For whatever reason, possibly because of the speculation that I was discussing about the uncertainty of hospitality and the night-time economy reopening, they have chosen to go to their other job—the non-hospitality job. That clearly provides a challenge and is something that we have to work through and be alive to.

The hon. Member for Brighton, Kemptown talked specifically about security staff and the need to maintain safe venues. Clearly that is something that we are aware of and we are working through the Home Office to see what more we can do to support them.

I shall return briefly to the road map. The Prime Minister has the step-by-step plan to be led by the data as we ease restrictions. We have progressed through that road map, on the basis of the latest data, easing restrictions further when it has been safe to do so. We want to make sure that as the night-time economy and hospitality reopen, we remind people that the hospitality sector has done so much to put mitigations in place—the time, the money, the effort, the staff, the one-way systems, the screens and what-have-you. We want to reassure people that they are safe by following the guidance and putting those measures in place, but providing a really warm welcome as well. We want people to go out and enjoy themselves. We want to give them the confidence to come out on the first day and make sure that they have enjoyed a fun time and want to come back time and again. As we break the cycle of people being locked away at home, we do not want them to necessarily just sit there and contain themselves with their bottle of wine and ready meal in their garden, because there is so much that Brighton, London and Northern Ireland have to offer in the night-time economy.

Could the Minister address one request that I get a lot from the night-time economy, by giving some pre-guidelines of what the opening up might look like, even if that were to change? Looking at another sector, I went to visit my local caravan club site recently. They were given three days, from the announcement to open up the site, to implement the measures that the Government required. If they had been given just a week, they told me, even if it was to say, “This is what we are currently thinking; it might change, but this is where you can start planning,” it would have really helped.

Could we learn that lesson with the night-time economy and give them a heads-up? Could we say, “This is where the current thinking is. We don’t know the date when it will happen—it might be this week, next week or the week after—but this is roughly what it will look like when you are opening up”? Could we make it clear whether it will be a free-for-all when we do, or whether it will be a case of, “You can open up, but here are the requirements that you will have to meet”? That would make a big difference for a lot of these venues.

I thank the hon. Gentleman and totally accept that. We are in a frustrating period; it is frustrating for all of us. None of us wants this to go on for a day longer than possible, but as he knows, a number of reviews are under way—the certification review, the social distancing review and the events pilot—all of which are due to be completed this week. They will not only inform the Prime Minister in making his decision ahead of 21 June, but inform us of what works, what might not work and so on for larger events and for social distancing.

In all this, we have worked with organisations such as UKHospitality, Hospitality Ulster, the British Beer and Pub Association and the Night Time Industries Association to try to get a view about what the effects of any residual social distancing and mitigations will be on their economy. We can therefore get the balance right in giving them a chance to make a profit. Let us bear in mind that every time we walk down a street at the moment and see a busy, bustling pub, it is still losing money; it is just minimising cash burn and minimising its losses. It is not making money. It has not got a chance of making money until it can open fully, because of the capacity issues. As I say, it might look busy, but it is still constrained.

I cannot give the hon. Gentleman the exact answer that he wants and that the sector needs, but we are trying our best to ensure that we work with the sector and have a dialogue rather than just say, “Okay, this is the kind of stuff we are going to do. What do you think about it?” At every stage it has been difficult to work through those dates as we have come through them, but I believe that we will get there.

I know that not every venue will open fully on 21 June, because that is what happened on the other two dates as well. That is the date, and different people will work through their venues to best suit their staff rotas, their suppliers and perhaps just ensure that they can give that safe and warm welcome. We want to ensure that the Government’s programme is one-directional; and clearly, businesses do not want to be stop-starting because of economic constraints of a more local making, shall we say.