Night-time economy at risk of 'collapsing'

With 80% of businesses having been quoted increases of more than 300% for energy​ costs, according to the NITA, the association raised concerns the winter months could bring many “to the point of failure”.

NTIA​ CEO Michael Kill said: “The current climate would see this crisis take more businesses to the point of failure than the pandemic.

“As we move towards the colder months, where energy​ consumption increases, we will see costs spiral out of control.”

Inflation crisis 

Furthermore, Kill stated the next few weeks were “critical” and required “swift action” from the Government and ingoing Prime Minister before support issued during the pandemic becomes “wasted​”

He added: “Billions of pounds of public funding spent during the pandemic could be wasted if Government cannot get a handle on current cost of inflation ​crisis.”

This comes as the British Beer & Pub Association (BBPA) joined forces with leaders from across the hospitality sector, including St Austell Brewery, to pen an open letter​ to the Government stating the energy crisis threatened “mas business failure” without an urgent support package.

St Austell Brewery chief executive Kevin Georgel said: “The cost of energy ​​threatens to cause mass business failure and the loss of thousands of pubs across the country. 

Unsustainable climate 

“One of our tenants, whose current gas contract is ending next week, was yesterday quoted a 417% increase on what he currently pays for a one-year fixed price deal.

“It’s unsustainable for publicans to run their businesses in this climate and increases of this scale will more than wipe out the entire profits of the business.

“Pubs bring people together and play a critical role in their community and British beer is part of our rich heritage. The market is failing our sector and we need an energy ​​price cap for hospitality before this crisis forces our licensees to close their pubs.

“The Government ​​rightly stepped up and helped our sector during the pandemic. This investment in the survival and long-term recovery of the British pub and brewing sector is now at serious risk, unless some urgent and meaningful intervention comes soon.”