Staff Shortages Causing Loss of $26 Billion in UK
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Trade Groups Plea for ‘Targeted Support in Order to Solve the Crisis’ as Survey Shows Staff Shortages are Causing Hospitality Industry to Lose $26 Billion

Staff Shortages

A “We are hiring” sign is seen in the window of a pub seeking bar and kitchen staff in Westminster on June 4, 2021, in London, England. Staff shortages in the UK are causing major financial loss. (Photo by Rob Pinney/Getty Images)

A survey published by trade group UK Hospitality revealed 45% of operators in the United Kingdom have had to reduce trading hours or a venue’s capacity in order to cope with staff shortages.

These measures are costing the industry £21 billion ($25.7 billion) in lost revenue, as well as an estimated £5 billion ($6.1 billion) in tax for the Exchequer, Britain’s national treasury.

UK Hospitality carried out the survey in partnership with the British Institute of Innkeeping (BII) and the British Beer and Pub Association (BBPA).

“These figures clearly show the danger to the industry and financial loss to the country via taxes posed by the current staffing crisis,” UK Hospitality, the BII and the BBPA said in a statement, according to Big Hospitality. “In short, the recovery of both the sector and the UK economy are being threatened by this workforce shortage.

“Operators have been doing all they can to help solve the issue, from increasing wages, to flexible working. However, this can only help so much, and the sector must be given targeted support in order to solve the crisis.”

The survey also revealed that staff shortages are forcing one-third of businesses in the hospitality sector to close at least one day a week.

“People are at the heart of hospitality, providing the quality customer service and personal experiences that people want,” the trade groups said in the statement. “On the other side of the coin, the sector offers jobseekers a wide range of roles and fulfilling careers with great potential for progression.

“The sector offers opportunities to people of all levels of expertise, experience and backgrounds. A booming hospitality workforce will create fantastic opportunities, drive economic growth and aid regeneration in communities across the UK.”

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