The coronavirus could cripple Fife’s cash-strapped hospitality industry unless the UK Government steps in to help, it has been warned.
Restaurants, pubs, cafés and hotels are in danger of closing, with many owners warning they are working with a maximum cash flow of just two to four weeks.
The dire warning from Kirkcaldy Labour councillor Alistair Cameron follows meetings with several local business people on Tuesday.
Mr Cameron, who has 45 years of experience in high street sports retail, said many in the hospitality industry were deeply worried.
Two local cafes, The Bakers Field in Tolbooth Street and Kangus in Victoria Road, have already made the decision to close until further notice amid fears over the spread of the virus but Mr Cameron said many others were confused over what they should do.
“Their concerns are very much over the fact that what’s come out from the Government puts the onus on them and it leaves them open to criticism,” he said.
“What do they do about staff if footfall drops, which it already has and will continue to do?
“Margins in retail and hospitality are so low and what I was getting back was people have two to four weeks of cash flow tops and they are caught between the devil and the deep blue sea.”
Mr Cameron welcomed the announcement of 75% rates relief for businesses in the leisure industry with a rateable value of £69,000 or less but called for equal help for bigger businesses.
“Those valued above that are only getting £5,000 and we have a few in Kirkcaldy in that boat.
“It would be better if the £69,000 threshold was scrapped for the time being to put everyone on an equal footing.”
