TIME TO
RESPOND. RECOVER. #RECONNECT

SUPPORTING THE EUROPEAN RESPONSE TO COVID19 AND THE RECOVERY & RECONNECTION OF BREWING AND THE HOSPITALITY SECTOR

The impact of Covid19

The hospitality and beer sectors are once again being hit hard as curfews, sales bans and full shutdowns have come into force due to the second wave of COVID-19 infections sweeping across Europe.

Governments are re-introducing measures that directly aim to prevent gatherings, such as meetings of friends and family, events and festivals.

Hundreds of thousands of bars, pubs, cafés and restaurants across Europe are affected as society once again hits pause on socialising.

REACTING TO THE CRISIS

Brewers are thankful and express admiration for the key workers fighting the pandemic on the front line, and give our support for those helping to keep society moving.

Brewers once again stand ready to assist public health efforts through actions such as logistics, support and alcohol gel production. We are also in solidarity with a hospitality sector whose hundreds of thousands of businesses had to close and lose their income, but typically spent the first lockdown investing to implement new social distancing obligations. We will continue to support these establishments, including through the recovery of unconsumed beer and in case of further changes that may be needed to allow for COVID-safe re-openings in line with new legal requirements.

PROTECT people
and the value chain

The Brewers of Europe and its members, promoting the interests of over ten thousand breweries operating in Europe, are calling for government support measures to be maintained, extended or put into place for hospitality establishments and their wider ecosystem.

These measures are crucial if businesses are to survive the current curtailment of their ability to operate, and are key to supporting the whole value chain due to their interconnectivity and mutual dependence.

It is also crucial that they still be maintained as businesses begin their recovery whilst only partial opening is permitted, as citizens are progressively permitted to expand their social interactions and as consumer confidence gradually rebuilds.

Time to reconnect with your favourite bar

SUPPORT THE HOSPITALITY SECTOR TO RECOVER AND RECONNECT

The beer sector is embedded in communities, sourcing locally, creating 2.3 million jobs in villages, towns and cities across the whole of Europe. This broad reach also provides significant tax revenues and value to local and national governments, in particular through hospitality beer sales.

Hospitality is central both to beer and to the European economy. When society starts to reopen, bars, pubs, restaurants and cafés must be supported to welcome customers and begin to #reconnect once more.

Whilst most establishments spent the first lockdown setting up robust and effective social distancing measures to ensure COVID-safe environments, we will also support venues in any other further actions required to allow a reopening that is safe, sustainable and in line with legal requirements.

The following support measures are essential to ensure these businesses are also in a position economically to open as viable, sustainable venues:

PROLONGED TEMPORARY UNEMPLOYMENT SCHEMES

Temporary unemployment schemes such as furlough need to be prolonged to allow staff to return upon the reopening of businesses and until full operations can once again recommence.

loans & GRANTS

Flexible liquidity loans and grants, including state aid, can help provide cashflow to allow companies to fulfil financial obligations whilst income is often zero during lockdown and potentially still very minimal during partial reopening.

Excise tax

Excise recovery schemes can once again help prevent taxes being paid on beer that is ultimately unconsumed. Targeted excise reductions can help sectors such as brewing that are disproportionately impacted by the hospitality sector shutdown.

VAT

The extension or introduction of reduced VAT rates beyond reopening, often specifically targeted at the hospitality sector and including beer, are critical to supporting reopening and helping the return of customers to bars, pubs, restaurants and cafés once the doors reopen.