Sigh of relief at Sunak’s £1bn package. Half live in fear of future lockdowns & 1 in 5 don’t expect to survive 2022″, comment from Simply Business

Alan Thomas, UK CEO at Simply Business, comments on the announcement of a £1bn bailout package for small businesses: “Small businesses in the leisure and hospitality sector will be breathing a sigh of relief following Rishi Sunak’s announcement of a £1bn support package. Owners in these industries reported a 60% drop in trade in December – usually their busiest month – and the grants will help to offset the effects of rising Omicron cases and reduced trade.

“While this latest financial package will provide a lifeline, it’s vital that support doesn’t end here. More than half of all small businesses say they live in fear of future lockdowns, while one in five owners say their business won’t survive 2022 without a strong December.

“From our own study we know small retail, hospitality and leisure businesses have been disproportionately affected by Covid-19 – losing a staggering £40,000 each on average due to the pandemic. This is almost double the £22,000 average loss reported across all independent businesses.

“Small businesses are the backbone of our communities and economy, accounting for a third of all employment and contributing trillions of pounds a year in turnover – quite simply we all need them to bounce back. It’s crucial that the government support the self-employed through this latest period of uncertainty.”

For more information visit the Simply Business