UK hotels and restaurants hit by wave of cancellations | Business

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Hotels and restaurants have been hit by a wave of cancellations as new coronavirus restrictions cast doubt on the country’s Christmas celebrations and raise the prospect of yet another setback for the high street.If new rules prohibiting gatherings of more than six people remain in place during the holiday season, analysts say the lack of Christmas parties and large family reunions could cost retailers billions of pounds in lost clothing and food sales.

“I think it could cut retail spending by billions,” independent analyst Richard Hyman said. “Toys and gifts will obviously be purchased, but I think clothing sales will be affected. ”

“Clothing retailers need the boost that comes with going to parties and family reunions, and this will clearly be reduced significantly. Why bother [buying something new]? »

The holiday season is when many retailers take in the lion’s share of their annual profits, and many stores are desperate to catch up after being forced to close their doors for months during the lockdown.

The frenzied socializing weeks leading up to Christmas and New Years are also hugely important for UK pubs, restaurants and hotels. Some venues make up to 40% of their annual profits between Halloween and January.

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