A number of hospitality businesses have avoided making ‘difficult decisions’ during the Isle of Man TT thanks to financial support from the government.
That’s according to Andy Gibbs, owner of the island’s Jaks Group and chairman of the Isle of Man’s Licensed Victuallers Association.
On Thursday, the Isle of Man Government announced a series of measures to designed to support the hospitality industry during the busy TT fortnight.
They include the creation of a new temporary financial assistance initiative - called the TT Hospitality and Retail Staffing Incentive Scheme - during the races and the launch of a dedicated online support resource for hospitality workers.
The urgent measures were unveiled amid mounting concerns from the island’s hospitality bosses over the staffing and financial pressures faced by businesses.
And Mr Gibbs said that without the support package, many of the island’s hospitality businesses would have faced the difficult decision of reducing their operating hours or closing entirely due to staff shortages during the TT.
He said: ‘The support from the Isle of Man Government is vital for us to navigate through these challenging times.
‘The TT event is a significant occasion for the island, and the hospitality sector plays a crucial role in ensuring a memorable experience for the thousands of visitors and locals.
‘We are grateful for the government's initiative, which provides much-needed relief and support to our industry.’
The TT Hospitality and Retail Staffing Incentive Scheme will be available exclusively to businesses in the hospitality and retail sectors.
As part of the initiative, businesses can apply for additional funding, which must be passed on directly to their staff.
Eligible traders will receive financial assistance for every 10 additional hours worked by an employee each week, with a maximum of £100 per week per individual.
This support is aimed specifically at any hours worked beyond the standard 37-hour workweek during the qualifying period from Monday, May 27 to Sunday, June 9, 2024. Mr Gibbs added: ‘The scheme, in essence, is self-funding, as it ensures businesses stay open to maximise tax revenues while those working in the industry keep more of their earnings in their pockets.
‘To be clear, the support is directly for employees, not the businesses.
‘We hope that by working closely with the government, longer-term, mutually beneficial initiatives will be developed to ensure we have a sustainable and thriving hospitality industry in the future.’ A spokesperson for the LVA said the group remains ‘committed to working closely with the government and other stakeholders to find long-term solutions to the ongoing challenges in the hospitality sector’.
‘The association will continue to advocate for measures that will ensure the sustainability and growth of the industry, which is essential to the island's economy and tourism’.