Hospitality industry calls on government support ahead of worrying winter
Many pubs are expected to close their doors over the coming months
Almost nine in 10 (87%) hospitality businesses say they will need government support to survive the winter, according to a survey from the Scottish Licensed Trade Association (SLTA).
Most respondents (55%) also said that they will reduce their opening hours over the coming months, with 10% saying that will close for the season.
Businesses highlighted rising energy costs as their biggest threat, with more than a quarter of venues (28%) saying they face their energy costs increasing by more than 500%.
More than 600 outlets responded to the survey, which the SLTA said is around 10% of Scotland's pubs, bars, late-night premises and other licensed venues.
Colin Wilkinson, SLTA managing director, said: "For many outlets it won't be economically viable to remain open and one in 10 of our respondents plan to close during the winter months and nearly one in two expect to reduce opening hours.
"Our sector is a crucial part of the tourism industry and reduced opening hours will have a knock-on impact for Scotland's wider food and drink sector, and for employment within the sector.
"Our pubs and bars have worked very hard post-Covid and Brexit to showcase Scotland's hospitality industry, but with a tsunami of rising costs and low consumer confidence, we urgently call on local and national governments to help us through the winter.
"We must protect the jobs that outlets provide directly and the associated jobs in the wholesaling, brewing/distilling and food-producing sectors."
The survey found that 5% of outlets have not re-opened post-Covid, while 50% are trading at significantly lower levels than before the pandemic.
More than half (55%) of hospitality outlets said they are carrying significant Covid-related debt.
The research, carried out in September, also found that 40% of outlets are employing significantly less staff, while respondents also said that recruitment post-Brexit remains an issue.