How much more can the hospitality sector take?

The restrictive measures agreed last Thursday by the Government Council of the Canary Islands in order to curb infections before and during Easter, are yet another kick for the hospitality sector in the islands particularly those without terraces. Obviously business owners were aware that the epidemiological situation was worsening, and that there would be extra measures like at Christmas and the Carnival period, however, the situation in some sectors, especially hospitality and leisure, is beginning to become unsustainable.

The vice president of the Association of Restauration and Leisure Entrepreneurs (AERO), Carlos Quintero, said that in no case do they oppose the health measures adopted by the regional Government, but they beg that the aid for SMEs approved a couple of weeks ago in Madrid “arrive as soon as possible as we can't hold out much longer.”

Quintero said, “If a restaurant has to close at 10pm, it is impossible for it to serve enough covers to survive. There are some people who are eating earlier, but they are very few”. He is however, thankful that the food delivery service is extended until midnight, because "it can be a help, especially for locals that have this service", but insisted that it is not enough with a whole year of losses, and not yet having any idea when full economic activity restarts.

The Secretary General of FAUCA, the Federation of Urban Areas of the Canary Islands, Abbas Moujir, pointed out that it is another blow for a sector that had removed many workers from the ERTE for Easter, and "with these restrictions they will have no choice but to put them back again, with all the paperwork and extra cost it entails.”

In addition, he explained that "many places, those that don’t have, or can not have, a terrace, will have to close again." Moujir criticized that many SMEs have not been able to access the aid ‘so promised’ by the Government and stressed that "the amount in no case replaces the loss of income accumulated throughout the year." Regarding commerce, he pointed out that since January "it has not increased as there are no celebrations so people are not going out and, therefore, they are not buying."

For its part, the hotel association Ashotel warned that the confusion created among tourists by the mobility conditions at Easter is leading to numerous cancellations. For this reason, they demand that the Government make a greater effort to communicate and reinforce the key messages to avoid confusion.

“WE CAN'T HOLD OUT MUCH LONGER; THE CANARY ISLANDS IS LOSING 800 MILLION EUROS A MONTH"

Although the Minister of Tourism of the Canary Islands, Yaiza Castilla, assured yesterday that the only way to reinforce security without losing the economy, was to force a negative Covid test, either PCR or antigen, to be able to travel between islands during Easter, businessmen are not so clear about it.

The Secretary General of CEOE-Tenerife, Pedro Alfonso, pointed out that every time there is a delay in the economic recovery of the Islands "a general feeling of distrust is generated." For this reason, he explained that it is of "utmost importance" that the aid arrives "on time" and, above all that, they manage to compensate for the losses of 2020.

Alfonso recalled that each month that passes without economic recovery "the Canary Islands lose around 800 million euros." Alfonso warned that this situation "is not sustainable for much longer." However, he pointed out that if sanitary measures are necessary, “they must be adopted”, but a “serious effort must already be made to reactivate vaccination, because if not everything that is being done, it will be a palliative aid for the economy and they will have to ask for more funds”.