Covid crowdfunder to save Glasgow nightclub

Author: Rob WallerPublished 7th Jul 2020

A crowdfunding appeal is being launched because of fears one of Glasgow's most iconic night spots could close, with the loss of 31 jobs, due to the effects of the Covid-19 pandemic.

Sub Club was shut down when lockdown came into force in March, and hasn't been allowed to access the UK Government's furlough scheme.

A mainstay of the UK’s music scene since it opened in 1987, the venue is one of the world’s longest-running underground dance clubs. A cultural institution, it might not be the biggest venue in Glasgow (its capacity is only a little over 400) but it is famous across the globe, regularly appearing in the top tens of international polls for best club.

Lockdown measures have created a shortfall of over £250,000 in the company’s income for 2020. The company has lost over £30,000 in furlough payments and it has been forced to place all of its 31 full and part time staff on unpaid leave. A host of freelance DJs, music promoters and technical workers also rely on the club for their regular income.

Mike Grieve, Managing Director of the Sub Club, said: “Months of mistakes on HMRC’s part caused us to miss out on eligibility for the furlough scheme by a single day.

“The reality for us at the moment is that we’ll be lucky if we open this year - the very nature of the business means that opening with social distancing requirements in place seems impossible.

“We need to do everything we can to stay afloat during these times and our battle with HMRC has made this pandemic an even greater struggle. It seems grossly unfair that more than 30 people have to lose their jobs and our great wee venue, much loved by generations of Glaswegians, is under serious threat due to a simple technicality.

“The atmosphere on a club night at Sub Club is impossible to replicate and that’s what we want people to remember when they consider donating - we’ve been putting on unforgettable nights for over 30 years and we want to be able to continue that for years to come.

“What’s particularly galling about this situation is hearing the repeated statements from the Prime Minister and other ministers that they will do ‘whatever it takes’ to save businesses and protect jobs. Boris Johnson said in parliament ‘we will continue to support our businesses’ and ‘get this country through this crisis by doing everything it takes’. What we’re going through feels like doing everything possible to deny us and our employees the support we urgently need.

“The Scottish Government’s support package for the arts sector is hugely welcomed and it could be a vital lifeline for music venues in Scotland, but for many businesses it has come too late. There are very few guidelines on the fund at the moment and as we wait for Creative Scotland to announce more details and to see if we qualify for funding, Sub Club continues to hang by a thread and we need the public support now more than ever.”

Alison Thewliss MP is the Shadow SNP Spokesperson (Treasury) and has sat on the Treasury Select Committee since March 2020 and is backing the Sub Club’s position.

She says: “I have been appalled by HMRC’s handling of complaints about the Job Retention Scheme. What’s more, it’s now becoming clear that their lack of flexibility and inability to exercise discretion is entirely deliberate, and as a result of instructions passed from HM Treasury.

“The Sub Club’s case is a particularly egregious one. The business contacted me around two months ago, and my office escalated the matter to HMRC on 11 May. Since then, there have been interminable delays getting replies back. We have had responses that contradict one another, there have been call backs promised that have not materialised, and a failure from HM Treasury and HMRC to recognise that their own mistakes have led to the situation that the business now finds itself in.

“In these tumultuous times, businesses need HMRC to act quickly and be agile. What has happened has been the opposite, and it’s unacceptable that it’s HMRC and HM Treasury intransigence that will potentially push this business under.

“Perhaps most alarming of all is the fact that I raised this case personally with the Financial Secretary to the Treasury, Jesse Norman MP, on 22 June and haven’t had as much as an acknowledgement. So much for this government’s promise to do “whatever it takes” to support business and the economy.

“UK Government Ministers must urgently recognise that their obstinance is pushing businesses to the brink, and take immediate action on cases such as that of the Sub Club. They must be allowed to access the support that they are clearly entitled to”.