6. Will the Minister make a statement on the financial support provided to the hospitality industry over recent months? OQ56745

To date, not including the recently announced support, the Welsh Government has provided the tourism and hospitality industry with nearly £56 million in support through the economic resilience fund, and emergency funding will, of course, now be available until the end of August. The sector will continue to benefit from our 100 per cent rate relief scheme for the entire financial year, unlike their colleague businesses in England.

Thank you, Minister. You will remember that I wrote to you on the issue in terms of the lack of funding available to the hospitality sector for April specifically. In your letter to me on 25 June, you note, and I do quote, that 'the financial support package for Welsh businesses has continued throughout April and into May.' However, businesses in my region tell me that this is not right. Indeed, a document on the Business Wales website notes that funding for sector-specific support, the ERF fund phase 2, encompasses the period 25 January 2021 to 31 March 2021. The next fund wasn't available until May, so how do you explain the inconsistency between the information available to the public on the Business Wales website and the information that you gave to me in your letter on 25 June?

We've been round this track several times, as the Member is aware, on when the choices are made and how the schemes actually look to provide cover for the costs that businesses have incurred. So, the scheme that we're in the application process of now, where the eligibility checker is open, and applications will open next week, will look to cover costs from the end of the last period of business support through to the end of August. That's the way we've done things consistently, and it's a matter of fact, not opinion, that we do provide a more generous package of support to the relevant businesses that the Member raises here in Wales compared to England.

Our big challenge, though, is our ability to continue to support businesses through this emergency period of time, where the pandemic has had a material impact on their ability to trade successfully, and what we're going to be able to do as we hope to be able to take further steps forward in easing restrictions and opening up more economic activity. That goes back to the points that were made in previous questions about the balance between the public health position here in Wales, the success of our world-beating, world-leading vaccination programme, and the economic activity we want to safely restore and the next stage in our approach. As the Member will know, as part of our 21-day review process, it's only a short period of time before we're able to make further concrete decisions to help support businesses in the next stage of the recovery.

Minister, you'll be aware that UK Hospitality Cymru has been calling for a new, nine-month, smart funding strategy to help businesses survive, recover and to protect jobs going forward. Now, hospitality business in my constituency continue to tell me that they're still in a critical and fragile position. Therefore, could you tell us whether you will actually consider taking on UK Hospitality Cymru's suggestion by looking to actually develop a nine-month strategy?

Well, I've had a recent constructive engagement with the hospitality sector and others. We continue to talk, my officials are in regular conversations with representatives from the hospitality sector, and, as I've said previously, it's a matter of fact, not opinion, that hospitality businesses in Wales have a more generous package of financial support compared with hospitality businesses in England. Actually, their concerns are—they do recognise they're in a position where there is real fragility, still—challenges about staff, being able to invest in future skills, and if we're able to move forward further, what that means in terms of the ability to adapt to either the easing of restrictions or changes in the way in which their business operates. It's about how we provide as stable a footing as possible.

The challenge with looking to set out a plan over, say, a nine-month period of time is that I couldn't tell the Member or anyone else, and with absolute certainty, what trading will be like over the Christmas period, because we're not in a position to forecast that far ahead with real certainty. We're going to make choices over the coming days and weeks, over the next stage in our journey, hopefully, out of the pandemic. We'll do that with the sort of future forecasts we can give responsibly, and we'll need to continue to re-evaluate where we are in terms of the pandemic. But the choice that I made to provide emergency support up to the end of August provides some certainty for the rest of the summer about the support that will be in place, and I look forward to working on the future vision with them at a time when we're able to do so with enough certainty. Until then, I look forward to the continuing constructive conversations we have about how we support this particular sector of the Welsh economy.

I know, Minister, that one of the most welcome parts of financial support to hospitality providers in Ogmore has been the COVID-19 outdoor improvements recovery fund, and its benefits are going to be felt long beyond the pandemic. When hospitality shifted outside and COVID restrictions were firmly in place, grants of up to £10,000 were made available to cover 80 per cent of the costs of business adaptation across Wales. So, a dozen sports and social clubs across my area, from Pencoed to Heol-y-Cyw, to Maesteg and right across the piece, but also cafes and restaurants and bars, from Blaenogwr to Bryncethin, Bettws to Blackmill, Llanharan to Llangeinor and Llangynwyd, they all took advantage of that grant and they've produced fantastic outdoor provision now.

So, will the Minister, during the summer, take the time and accept my invitation to visit one or more of these hostelries with me during the summer, share a pint, chat with the staff and the owners about the help they've had, but also what more they might need in the months ahead, after such challenging times? And just to reassure the Minister, if he takes my invitation up, I will buy the first pint. [Laughter.]

It sounded like a bit of an invitation for a pub crawl to me. [Laughter.]

Well, I praise the Member for mentioning so many different venues within his constituency. That was an impressive act that I'm sure others will look to emulate.

I have seen the real impact, and I think the Member's right on the fact that the use of outdoor space as a necessity in the pandemic is helping to change some behaviour and, in the future, I think more people will take advantage of the outdoor space that's been created. And I see some of that in the venue that my own son goes to for cricket and rugby, with the way that they've significantly expanded their outdoor offer, and it's been of real benefit and value. I should say, though, when I take my son to such events I don't take alcoholic beverages as I need to drive the car. 

I can't promise to accompany the Member on his very tempting invitation, but I do really take on board the point he's raising about the adaptability of businesses and the longer term benefit, and it does show that the choices being made to protect businesses now will hopefully have a much longer term benefit for businesses and jobs, and the Member's ability to visit hostelries within his constituency. [Laughter.]