PQ: Support for Self-Catering Businesses in Light of New Restrictions

Transcript from a question that Jackie Baillie MSP asked in the parliament today regarding self-caterers:

Jackie Baillie (Dumbarton) (Lab):

The cabinet secretary will be aware of the significant concerns of the self-catering industry about the changes in guidance on household composition; 60 per cent of businesses have already experienced cancellations, and 42 per cent expect significant financial losses. What action will the cabinet secretary take to minimise the impact on the sector of the revised guidance coming from the Scottish Government?

Kate Forbes:

Jackie Baillie will know that I have many self-catering properties in my constituency, so I also get the casework. First, Fergus Ewing has spoken as recently as yesterday to the Association of Scotland’s SelfCaterers to understand its concerns and see what more we can do. Secondly, Jackie Baillie will know that there was financial support for self-catering businesses during the first lockdown. I am keen to ensure that we provide what support we can to those businesses, but the big issue is that the replacement for the job retention scheme will not do so, and we do not have the funding that would allow us to tailor our response to Scotland. We will use every penny that is at our disposal to provide support but, at this point, we do not have the funding to develop new schemes for financial support.

 

ASSC Sectoral Survey: The Impact of Coronavirus Restrictions: ‘Rule of One Household’ to Self-Catering in Scotland

Background

  • On 22 September, the ASSC received assurance from the Scottish Government that the ban on visiting other households did not include self-catering units. This message was shared widely with the press, the public, and tourism stakeholders.
  • On 23 September, National Clinical Director, Professor Jason Leitch, appeared on BBC Radio Scotland’s Mornings with Jackie Brambles programme and said, “…you can’t have two households in self-catering so that would be like allowing them in your own home.”
  • Also on 23 September, following an urgent request for clarification, the Scottish Government told the ASSC first that, contrary to the comments made by Professor Leitch, their advice remained the same and that it was not the intention of the restrictions to include self-catering.
  • However, a few hours later, the Cabinet Secretary for Tourism, Fergus Ewing, said that the one household restriction would, in fact, apply to self-catering from Friday 25 September.Survey Overview
    • This was publicised via ASSC newsletters, as well as on the ASSC’s social media pages over 48 hours.
    • The online survey elicited 1136 responses from both ASSC members and non-ASSC members alike.
    • 608 Members of the ASSC (54% of respondents) took part, with another 528 (46%) non-member self-catering operators.
    • The results offer valuable insights from Scottish self-catering operators in a sector that has beenestimated to contribute over £723m each year to the Scottish economy.

    Key Findings

    • Almost three-quarters have been negatively impacted financially by the new restrictions.
    • Nearly 60% of self-caterers have already experienced cancellations.
    • 42% expect financial losses of between £1,000-£10,000 up until the end of the year, 17% expect losses ofbetween £10,000 and £20,000, while 13% expect more than £20,000.
    • Three quarters of self-caterers are somewhat or very pessimistic about their business over the next 3 to 6months.
    • The impact is not purely financial as 55% of self-caterers have experienced mental health issues or somemild anxiety associated with the Covid-19 restrictions.
    • Nearly 60% would like to see the introduction of financial support from the Scottish Government to helpmitigate the impact of the new changes
    • Three-quarters want clear communications from the Scottish Government on changes to restrictions.

    ASSC Sectoral Survey on Social Gathering Impact of Single Household Restrictions

    Read the Press Release: Scottish Government Household Ban Puts Self-Catering on Brink

Press Release: Scottish Government Household Ban Puts Self-Catering on Brink

The Scottish Government’s COVID-19 household restrictions are devastating Scotland’s self-catering sector, a new report has revealed.

According to a survey of operators, conducted by the industry’s trade body, the Association of Scotland’s Self-Caterers, 71 percent of self-caterers have reported a negative financial impact on their businesses with over half expecting further cancellations and 15 percent believing their businesses to be no longer viable.

Worse still, nearly one-in-ten operators have already had to let staff go and over half have reported suffering mental health effects as a direct result of the brutal SNP policy.

In revenue terms, 73 percent of self-catering businesses now expect to suffer losses of up to £20,000 with 5 percent bracing themselves for losses of more than that.

There have also been reports of guests cancelling and rebooking with larger hotels, as a result of the new measure.

The Scottish Government’s policy, spearheaded by Cabinet Secretary for Rural Economy and Tourism, has been the subject of harsh and extensive criticism following a series of embarrassing U-turns on whether self-catering units were to be included or not.

This damaging confusion was compounded by Scotland’s Clinical Director, Jason Leitch, who appeared on a BBC interview to contradict Mr Ewing’s position at the time, resulting in an outcry from the industry and the handling of the matter to be described as “embarrassing” and “undignified” by the ASSC.

As if to further condemn the Scottish Government’s policy, which has already sent a chill through the £723million sector, it was found that most respondents to the survey were from areas with little to no cases of COVID-19, suggesting that the ruinous effects on the Scottish Government from the policy will be felt across the country.

The rule is considered by many to be a betrayal of the sector which has worked closely with the Scottish Government through the pandemic, including locking down early and introducing strict cleaning measures, and had always approached working with the Scottish Government in a positive and constructive way.

As the trade body for the sector, the ASSC will continue to support its members and champion the industry, especially through these difficult times.

ASSC Chief Executive, Fiona Campbell, said:

“By including self-catering in this harsh rule, the Scottish Government has effectively placed a noose around the neck of a huge part of Scotland’s tourism offering, as our members have found.

“It is difficult to articulate just how angry, upset, scared, and apprehensive the Scottish Government’s disastrous dithering, poor planning, and dreadful decision-making has been, and will continue to be, for our sector but these figures give a pretty decent indication.

“Going forward, we will continue to fight for our sector and we can only hope that, sometimes soon, a lightbulb comes on in the Scottish Government’s offices before we’re forced to turn off our lights for good.”

ENDS