DfE insists "we are listening" following talks with local businesses
The Island's hospitality sector is continuing to call for support from government following meetings between local businesses and ministers.
A Port St Mary restaurant, which recently announced it would be cutting its opening times in a bid to survive is among those urging government to consider VAT changes for the industry.
The Boathouse told Manx Radio the decision to only operate at the weekend is "disheartening".
The business says a quiet winter and the cost of wages have made paying its VAT bill 'pretty much impossible', and is calling on for more to be done to support the sector.
Owner and Head Chef Hayden told Manx Radio it's a difficult position to be in:
Important announcement! As of this week we have made the incredibly difficult decision to reduce the restaurants opening...
Posted by The Boathouse on Monday, April 29, 2024
Meanwhile, a new hospitality business opening in the south of the Island this week says it's hopeful for the future, despite it currently being an 'incredibly challenging time' for the industry.
Kellas is set to open its doors for the first time tomorrow following a multimillion-pound restoration project at Manxonia House in Port St Mary.
Inside Kellas in Port St Mary (image courtesy of Amore du Plessis Photography)
While acknowledging the pressures the sector is under, Kellas founder Becki Gelling is optimistic for the future:
In a joint statement from the Department for Enterprise and the Licensed Victuallers Association, Enterprise Minister Tim Johnston said: "It is clear that the collective voice of the industry is that there is a need for Government to act quickly to mitigate concerns raised by the hospitality sector, as well as to maintain a dialogue to secure the continued vibrancy of the Isle of Man’s hospitality offering over the short, medium and long term.
"We are listening, and I am keen to ensure the communication lines remain open with the sector. As such, I have asked the Business Agency to continue this momentum and work with representatives of the sector to develop options for a way forward as an absolute priority which are affordable, sustainable and fair."
Chair of the LVA Andy Gibbs added: "This week has seen further conversation with the Isle of Man Government. Our concerns were made clear in our press release, and we have agreed to now work with the Department for Enterprise to develop more detail around options for support which will achieve the desired outcomes for our industry.
"This will allow us to maintain and improve our offering for residents and tourists, whilst being able to operate as commercially viable businesses – and importantly before the TT Races in the coming weeks. We have also agreed on a structure to support a cohesive voice for the sector going forwards. We welcome the acknowledgement of our concerns by Government, and hope the message that we need support quickly if our businesses are able to survive has been received."
Last week, Minister Johnston told Manx Radio he would look to release more details about support for the sector by the end of May.
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