CALL FOR SUPPORT FOR HOSPITALITY SUPPLY CHAIN
Together with a number of trade associations led by the British Frozen Food Federation, the FPA has agreed a joint letter to the Chancellor pleading for support for the foodservice supply chain.
The letter calls for the following to be put in place with immediate effect:
- Extend the 12 month local authority Business Rates Exemption to businesses supplying into the hospitality and foodservice market, using the existing legislative exemption for hardship.
- Ongoing capital and tax break allowances to maintain the workforce. These could be pro rata’d depending on how many staff a company is able to keep employed.
- Formalise the deferment of PAYE and NI payments until the end of 2021 for those in this sector, basing the final removal of that deferment on those businesses returning to a commercially viable level of operation.
- Increase the level of funding for the Additional Resources Grant and make the application process clear and the funding accessible.
- Provide tax relief for those companies that have had to dispose of stock either through waste or charitable donations. These disposals have come about due to unplanned short notice restrictions related to lockdowns.
We are fearful government assumes the foodservice supply chain can simply switch to grocery supply and that the decline in takeaway walk-in trade is compensated by increases in home delivery, with the net result suppliers will somehow survive.
The 12 signatories include the Food and Drink Federation, Federation of Wholesale Distributors, British Coffee Association and British Sandwich Association.