The recent surge in hospitality insolvencies is 'unsurprising' say Suffolk bosses.
Jo Watts from East Anglian insolvency experts McTear Williams & Wood said: "In the last few weeks, we've seen a lot more inquiries from hospitality companies. Restaurants and cafes - that sort of thing - seems to be what's affected most at the moment."
Steve Gardner, the owner of a 600 year old pub The Gardners, said its 'unsurprising' that many hospitality businesses are facing insolvency as he fears this is the 'end of the line' for rural British pubs.
He is aiming to keep his pub running for as long as he can but said he's not optimistic for the future due to the rising cost of business. "I can see more and more pubs closing and sitting empty. It feels like I'm just watching them fold around me", said Mr Gardner. "There was nothing in the budget for small businesses so its unsurprising that the hospitality industry is suffering. Eventually the supply chain will dry up. Particularly nearing the end of the next VAT quarter, we are just going to be wiped out."
Director of properties at Adnams Nick Attfield acknowledged that this is a difficult time for hospitality businesses but is hopeful for the industry's adaptability and resilience. He said "Uncertainties are our biggest challenge but once we know what we're dealing with we adapt quickly. We have a scary storm facing us because we don't know the conditions of our future." Mr Attfield was hopeful for the announcement of the mini budget but said it left him 'frustrated' for small businesses. "Small businesses were completely neglected but they're the backbone of Suffolk and East Anglia," he added.
At Adnams we're taking a long-term approach and trying to weather the storm as best we can. Both Mr Gardner and Mr Attfield were disappointed with the mini budget echoing feelings from other Suffolk business owners who said they felt 'left out'.
Chancellor Kwasi Kwarteng's announcement also received backlash from a number of experts and politicians who claimed the highest beneficiaries will be those who earn the most.
East Anglian Daily Times
1 October 2022