30th July 2020Eat Out to Help Out scheme is proving wildly unpopular

From August, The Eat Out to Help Out scheme will be introduced, however Russell Nathan, senior partner, explains why it might not be as popular as first thought:

“The eat out to help out scheme was initially warmly received by the industry. However in practice, it’s proving to be widely unpopular among restaurateurs, independents in particular. Restaurants fear that the discounting will actively encourage customers to spend less – to fit within the limits. Many are already down to as little as 50% capacity due to social distancing, so the last thing they can afford is significant reduction in the average customer spend. Then on top of that is the admin of processing it and the deferred reimbursement at a time when cashflow is critical to their weekly survival. It works for a certain type of outlet, in particular the larger chains with a lower average spend, such as Pret and Pizza Express. But it is the independents that have the greater day-to-day fight for survival who sadly won’t benefit from the scheme.”

If you have any questions on the scheme, please get in touch with Russell.

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Russell Nathan
Senior Partner

020 7380 4971
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