The Winter Economic Plan announced by Chancellor Rishi Sunak today may help stave off mass unemployment, but it failed to target support to those sectors that need it most, according to the West of England’s largest business organisation.
Business West, which runs Bristol Chamber of Commerce, along with other business groups, had urged Mr Sunak to offer more tailored support to industries facing the biggest threat from the impact of the coronavirus pandemic, such as aerospace and hospitality. 
It also pointed out that the Job Support Scheme will cost employers more than the furlough scheme it replaces.
Business West policy manager Claire Ralph said: “Business will welcome the government’s latest intervention to stave off mass unemployment within the South West region, but will no doubt be concerned about the limits to extended support.
“Most notably, the Job Support Scheme is considerably less generous than its predecessor, given that employers will pay at least 55% of employees’ salaries from November 1.
“The Chancellor has opened this up to all sectors, rather than offering the more tailored support for those which have disproportionately affected that many, including Business West, have been calling for.
“This is a concern given aerospace, the night-time economy and cultural and heritage industries contribute so much economic output and provide hundreds of thousands of jobs to our region. The Chancellor isn’t attempting to target support to where it is most likely to be needed.”
She said extensions to the Self Employment scheme and the government-backed loan schemes were welcome to assist cashflow for struggling businesses, and longer repayment terms for loans and tax deferrals could be critical to prevent insolvencies in those with the fewest reserves to cope over the winter.
“Overall, the scale of today’s announcement was very much smaller than those made in July and March but is overdue and we hope it will help some employers and businesses make it through to Spring 2021,” she said.
Alastair Currie, pictured above, who runs a number of Bristol-based event businesses, described the Winter Economic Plan as a real blow to his industry.
“With restrictions in place, we simply cannot operate at levels that would make signing up to the new scheme possible. We are viable businesses that were operating in a multi-billion pound industry before Covid-19 hit.
“I worry there is some ignorance at the scale of the industry and the numbers involved.”
He said the industry was not asking to be bailed out.
“Many business owners – including me – are willing to do what is needed to put back when we can operate fully again.
“This industry is an integral part of life’s rich tapestry as well as central to our culture with theatre, concerts, festivals, exhibitions and so much more.
“We have always been about creativity and innovation so we’ll do all we can to keep this important aspect of life – and the economy – alive. However, there is no doubt that was made much harder yesterday,” he said. 
Accountancy firm Milsted Langdon, which has an office in Bristol, said the Winter Economy Plan would play an important role in supporting businesses during these difficult times – but may still leave some workers without support.
General practice partner Jon Stocker, pictured right, said the devil was often in the detail in policy announcements and encouraged businesses to seek advice to make the most of the new support on offer.
“Whilst the Government has published some detail on these new measures, we do not yet have all the ins and outs,” he said.
“We have found from previous schemes that there are often a lot of conditions and criteria that businesses and individuals need to fulfil when it comes to accessing financial support, so it is important that professional advice is sought.”
Earlier this week, with the number of cases of Covid-19 rising again and promoting a new raft of restrictions on businesses – Business West urged the government to take action to protect jobs and prevent more damage to an already suffering economy.
Managing director Phil Smith, pictured, said: “Businesses in the South West understand that further restrictions are necessary to tackle the rising number of coronavirus cases, but these measures will impact business and consumer confidence at a delicate time for the economy.
“Businesses, their employees and customers need to see a clear road map for the existing restrictions and those that may be introduced in the future.”
This must include transparent trigger points, and clarity about the support available to protect jobs and livelihoods, he said.
“The government should waste no time in setting out a comprehensive support package for firms forced to close or reduce capacity through no fault of their own.”
Business West has been running a series of expert webinars and virtual networking events to help small firms bounce back from the impact of the coronavirus crisis. It also has a Trading Through Coronavirus hub, which is constantly being updated with answers to frequently-asked questions and the latest information and guidance for businesses.
