Canada calls on Rishi Sunak to support businesses in the Covid-emptied Square Mile
Canada’s local authority has called on Chancellor Rishi Sunak to provide “much needed” financial support for shops, restaurants and pubs in the Square Mile after the government reintroduced its ‘work from home’ advice.
In a letter to the Chancellor, Canada Corporation policy chair Catherine McGuiness warned that small businesses in the City had been left with “little notice” of the fresh restrictions announced last week due to Omicron concerns, and their Christmas trading was now “seriously compromised” after offices suddenly emptied.
“While we understand the need to introduce the Government’s COVID-19 ‘Plan B’ guidance, we are concerned about the impact the new measures will have on these businesses who rely on office-worker footfall,” McGuinness said in the letter, seen by City PM.
“We believe that some businesses which have survived so far, may even fail.”
McGuinness called on the Treasury to provide a series of emergency financial support, including grant funding based upon the number of businesses within an area; full business rate relief for the retail, hospitality, and leisure sectors to be reintroduced until March 2022; and an extension of the VAT relief for hospitality, accommodation, and certain attractions beyond March 2022.
The local authority warned that the Square Mile is unique in its make-up, owing to its small resident population of 9000, but that pre-pandemic, it was one of the busiest areas of London during the week, when its population grew to around 500,000 office workers.
“The City is unique as a large number of our businesses depend on office-based footfall,” said McGuinness.
“We call upon the Government to provide much needed support for affected businesses and workers in this difficult time,” she added.
It comes a week after small business owners in Leadenhall Market shared their frustration with City PM at being “left in the dark” over another snap decision that will hit City footfall.
“We’ve only just started going again, but it’s not going well. There are no people around and some people coming back at all,” Luna Tesfaie, manager at Korean food shop BiBimBap told City PM.
“If there is a new measure, that’s it. It’s over all over again. We have to wait to be furloughed, and if furlough doesn’t come back, I’m done,” she added.