CLH News #183 December 2015

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THE LEADING PUBLICATION FOR THE INDEPENDENT HOSPITALITY SECTOR

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• ANALYSING & EXPLAINING TO YOU WHY YOUR BUSINESS MIGHT BE UNDERPERFORMING • GIVING YOU A WORKABLE PLAN TO CORRECT IT • ONE-TO-ONE OR COLLECTIVE PROFITABILITY TRAINING FOR YOU, FOR GMs & HEAD CHEFS • IMPROVING YOUR PROFITS AND SALES Call David Hunter now to talk it through: Phone: 01628 487613 Mob: 07831 407984 www.bowdengroup.co.uk (Est 1984) Download the new “Bowden GPCalculator” iPhone App make costing and pricing easy

COPING WITH THE NEW £7.20ph LIVING WAGE From April 2016, all Hotel, Restaurant and Pub businesses will have to pay any staff members who are over 25 years old the new “Living Wage” which starts at £7.20ph!!! THIS WILL BE COMPULSORY - whereas the current “Living Wage” is NOT! This will be extremely difficult for all of our industry’s businesses and FATAL for some! • PERHAPS NOW IS THE TIME TO GET SOME HELP AND START PLANNING FOR THIS CHANGE • WE CAN HELP YOU BY REVIEWING YOUR OVERALL WAGES STRUCTURE NOW, AND HELP YOU THROUGH ANY NECESSARY CHANGES Call David Hunter now to talk it through: Phone: 01628 487613 Mob: 07831 407984 www.bowdengroup.co.uk (Est 1984) Download the new “Bowden GPCalculator” iPhone App make costing and pricing easy

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December 2015

Issue 183

Festive Ordering

Hospitality Technology

Bar and Cellar Equipment

Pages 16 - 17

Pages 18 - 19

Design and Refit

Property and Professional

Pages 20 - 22

Pages 23 - 29

Pages 30 - 31

Hospitality Industry Reaction 'Cautiously Positive' to Autumn Statement - Despite No VAT Cut THE UK hospitality industry has given a mixed response to Chancellor George Osborne’s Autumn Statement, which has included some reform and has been cautiously welcomed, however, the government is facing criticism for failing to instigate major change which would give the industry a boost. BBPA Chief Executive Brigid Simmonds said: “The extension of Small Business Rate Relief for another year is welcome, and is worth £25 million, and is something we had specifically requested. One third of pubs will qualify, 15,000 premises, in total. “However, it is very disappointing that the Chancellor has not extended retail relief for a further year – this is effectively a £1,500 tax increase for the majority of pubs, and will add £46 million to pubs’ rates bills. “Retail relief was providing a discount for pubs with a rateable value of £50k or less, which is 75 per cent of all pubs. This is a particular problem in the run-up to the revaluation in 2017 as rates bills have become out of kilter with the value of individual businesses. “Britain’s pubs face a total tax bill of £7.3 billion per year, so we will be keeping up the pressure for further measures, such as more action on both beer duty and business rates, as we move towards the Budget in March. “I do welcome the announcement that small businesses like pubs will typically not be burdened with the Apprenticeship Levy, as this would have placed an excessive burden on what are mostly small businesses. It is crucial that the Levy system is straightforward and allows those that pay into the Levy fund to access their full contribution to support apprenticeships. “I also welcome the £40 million for Visit England to fund product development, given the vital role that pubs play in the wider tourism industry.” The ALMR has also sounded a note of warning over the introduction of an Apprenticeship Levy and warned that additional costs burdens are likely to affect existing training budgets. The ALMR has also welcomed the decision not to cut police budgets. ALMR Chief Executive Kate Nicholls said: “The extension of the small business

rate relief for another year is certainly welcome as this is something the ALMR has consistently pushed for. It is disappointing, however, to see that once again we are in a position of urging the Government to hasten with real and meaningful change to the business rates system and to bring about root and branch reform. “This is increasingly a system that sees business relying on multiple discounts and allowances and is a recipe for confusion or avoidance, something the Treasury has already highlighted. The licensed hospitality sector is carrying an enormous burden in the shape of business rates, with pubs accounting for 2.8% of all UK tax receipts; a situation that is plainly unfair and unsustainable for some businesses. The Chancellor indicated that the review of business rates will report at next year’s Budget Statement and we are hopeful that it will bring with it good news for the sector. “We are also concerned that the forthcoming apprenticeship levy will place further costs burdens on businesses already facing shrinking margins. The ALMR’s Benchmarking Report shows that in labour intensive businesses such as pubs and bars, payroll costs often account for over half of all operating costs and almost onethird of turnover. This extra tax is may well have the effect of distorting payroll costs even further and is likely to undermine in-work investment and training in staff. “We are pleased to see that there will be no cuts to police budgets at this time. Any reduction in police budgets or numbers may have seen the licensed hospitality sector faced with the prospect of covering any security shortfall, with added responsibility for managing the UK’s night-time economy, without any real indication of how this was to be achieved. Martin Couchman OBE Deputy Chief Executive British Hospitality Association said: “We are pleased that 98 per cent of businesses will not be paying the apprenticeship levy because of the £15,000 payroll threshold announced in the Autumn Statement. “We await details of how smaller businesses will be supported in training apprentices. We are pleased to see that a new employer led body will set apprenticeship standards and ensure quality, but note that the hospitality industry has already made a lot of progress in developing apprenticeship standards.” “The introduction of the NLW from April 2016 will have a major impact on hospitality businesses’ finances so we are pleased to see a slight softening of costs through the decision to delay increases in auto enrolment pension contributions by 6 months from autumn 2017 and again in autumn 2018.” “We were pleased to see the announcement of the new £40 million Discover England Fund to boost tourism, and the government’s recognition in the Autumn Statement of the contribution of the industry to the UK economy.”

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LEADING NATIONAL LICENSED PROPERTY AGENTS

ATTENTION VENDORS LOOKING TO SELL OR LEASE?

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Tel: 01332 865112

or email: sales@guysimmonds.co.uk


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CLH News #183 December 2015 by CLH News - Issuu