UK government spent GBP 520 million on “Eat out to Help out" scheme
United Kingdom | Guess what, the government’s scheme “Eat out to Help out“ for the ailing hospitality industry has proven more popular than expected. Under the scheme, more than 100 million meals were ordered in August, costing the taxpayer around GBP 520 million (USD 690 million).
According to the online booking site Open Table, at the end of August, restaurants were twice as busy as in the same period last year. 84,700 restaurants, pubs and cafes had taken part in the discount programme, which only ran for one month.
After pubs were allowed to reopen in July, the government launched the “Eat out Help out” scheme, which awarded punters with a 50 percent discount voucher (to a maximum of GBP 10/USD 13.30) for purchasing food and non-alcoholic beverages. On average, the government had to cough up around GBP 5.20 per voucher.
With a total cost in excess of GBP 520 million, the “Eat out to Help out” subsidy will be a little more expensive than planned.
Before the covid-19 pandemic, pubs, restaurants and cafés accounted for 1.8 million jobs in the UK. Now companies and employees fear for their future. Pub chain Wetherspoon said that it expects a “period of more subdued sales” after the end of the “Eat Out to Help Out” scheme. Some restaurant chains and numerous independent venues and pubs have already filed for bankruptcy, thousands of employees have lost their jobs.
