mass redundancies

Tourism sector warns of mass redundancies


The SNP has called on the Treasury to urgently heed industry warnings and introduce further measures to protect jobs, the economy and people’s livelihoods – after the Scottish Tourism Alliance (STA) issued a stark warning of “mass redundancies” following the Chancellor’s statement.

Marc Crothall, chief executive of STA, stated that “Employers cannot afford to pay staff when there is no work, so we can still expect to see mass redundancies.”

He added that Rishi Sunak’s plans fell “some way short” of what is needed and that the “reality we must all face now is that within the coming days and weeks, business owners will lose their livelihoods, thousands will lose their income and the effects on the economy and people’s lives will be nothing short of devastating.”

Drew Hendry MP, the SNP’s Shadow Business spokesperson, said:

“Measures that protect jobs and sectors are to be welcomed, however, it is clear that the plans set out by the Chancellor fall well short of what is required to deal with this crisis and to prevent mass job losses.

“Extending the cut in VAT for the tourism sector on its own does not go anywhere near enough in the steps needed to safeguard jobs and secure the future of the sector.

“Scotland’s tourism industry, along with other businesses, have faced a devastating few months due to the pandemic. At this critical time, when they looked to the Chancellor for a lifeline to navigate the coming weeks and months, they were instead left behind.

“The Tory government’s refusal to heed the SNP’s calls for an extension to the furlough scheme and for strengthened measures and investment will now leave many businesses with no choice but to pull down their shutters for good and to lay off thousands of workers.

“The Treasury must urgently heed the warnings raised by industry leaders and go further in the support plans announced if it is serious in preventing a tidal wave of job losses.”


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