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Restaurants want 'vision for recovery' as red setting remains

Monday, 4 April 2022

The hospitality sector is asking for a “vision for recovery” after news that the country will remain in the “red” traffic light setting for the time being.

Prime Minister Jacinda Ardern announced on Monday that it had been decided that New Zealand would not yet shift to “orange”, but another review will happen on April 14.

At orange, there would be no limit on the number of people allowed at gatherings.

Restaurant Association chief executive Marisa Bidois said the decision not to move yet would be a “bitter disappointment” for her industry.

**READ MORE:

* Events, hospo leaders crossing 'fingers, toes, everything' for move to orange

* 200-person indoor limit still not enough for big venues

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Restaurant owners say their revenue is down on last year.
Restaurant owners say their revenue is down on last year.

“Patronage continues to be down on previous years and whilst this is starting to pick up, the decision to stay in red will not do much to help consumer confidence,” she said.

A survey conducted in March showed that 90 per cent of respondents said their revenue was down compared to 2021. The average drop was 34 per cent.

“We are not public health experts, however the seated and separated rule is incredibly challenging for venues,” she said.

“Hospitality venues are places where people want to socialise with others, particularly in bars and clubs so the enforcement of this rule will continue to be a sizeable issue for the industry.”

She said there should be more support for the industry, such as a wage subsidy for businesses with significantly reduced patronage.

“As well as more financial support, we would also like to see the Government outline a tangible vision for the recovery of our sector which clearly sets out the indicators required for a move to orange.

“We believe this should include a change of rhetoric from one of fear to one of hope and incentives, such as a subsidised dining scheme, to get people back out and stimulating the economy.”