There was no Christmas miracle for the restaurant industry in December. Instead, turnover decreased by almost 75 percent – and an already badly hit industry is now in an even tougher position.
December tends to be one of the best months of the year for many restaurants, with revenue that is usually a big help in both January and February, which are usually worse months.
Entrepreneurs in the industry had hoped for a decent month, despite the pandemic, according to Jonas Siljhammar, CEO of the industry organization Visita.
But instead, restaurant sales decreased by 74 percent compared to the same month in 2019, according to figures from Caspeco compiled by Visita. At the same time, the CEO says that the drop was not particularly surprising.
”"Those actors who depend on evening activities have been hit the hardest. In December there are also usually many Christmas parties, but many had to be cancelled due to restrictions," says Jonas Siljhammar.
When the alcohol ban and the requirement for fewer guests per table were introduced, cancellations started pouring in. And with ten months of pandemic restrictions behind us, the situation is now even more acute.
”"The coffers are empty. It's an acute liquidity crisis," he says, fearing that the next wave of bankruptcies is just a stone's throw away.
About half of all jobs in the hospitality industry are affected by the pandemic, corresponding to around 100,000 people. Should a wave of bankruptcies among the country's restaurants become a reality, it could mean "thousands more jobs" being lost, Siljhammar believes.
”"Unless new support is presented and paid out quickly, we will see a sharp increase already at the end of January and the beginning of February. If new support does not come quickly, the industry will be thrown to the wolves," he continues, emphasizing that new and better support packages from the government must come at a faster pace.
”"We saw that when the support came relatively quickly this spring, many were saved. We need an equally fast pace now," says Jonas Siljhammar.
Source: TT
