According to the latest insight from Sprout CRM and the Night Time Industries Association (NTIA), 60% of late-night sector businesses have already started making redundancies.
Meanwhile, in a damning indictment of what was considered the cornerstone of the Chancellor's Winter Economy Plan, 91% of respondents said the Job Support Scheme (JSS) - a six-month subsidy programme to replace the Coronavirus Job Retention Scheme (JRS) from November - would not help them retain their current workforce.
The survey of over 800 night-time economy operators was conducted following the implementation of the 10pm curfew introduced by the Government late last month, with the results further substantiating the devastating impact the new restrictions have had on businesses across the sector.
Almost half (45%) said they will be making over 60% of staff redundant as a result of the current restrictions and failure of the Winter Economy Plan to support them sufficiently, with 55% reporting a 60% drop in revenue after the curfew was implemented.
“This is a huge challenge for the sector, we have been working tirelessly across to support businesses with tech solutions, but the recent measures implemented by Government have made many businesses unviable, leaving concerns for their future,” said Sprout CRM Europe director Dhilon Solanki.
The NTIA has previously warned that the Chancellor's failure to offer any targeted support to late-night operators in his Winter Economy Plan had left night-time economy businesses 'in exile'.
“Our sector must not be undervalued, we need to challenge the government when restrictions result in the systematic closure of an entire industry,” said NTIA CEO Michael Kill, responding to the latest data.
“In the coming weeks, without further support, we are facing a catastrophic collapse, which will see thousands of businesses and jobs lost.”