Bar owner forced to sell home says move to alert level 1 can't come soon enough

An Auckland bar owner who was forced to sell his home to keep his businesses afloat and pay staff says the move to alert level 1 can't come soon enough.

Prime Minister Jacinda Ardern announced the city would move to level 1 on Wednesday at 11.59pm.

That means no limits on gatherings and the removal of social distancing requirements in restaurants and bars.

Mat Jorgensen, who owns Ding Dong Lounge and Infinity Nightclub, was forced to choose between his businesses and his home during the second lockdown.

"They were two pretty shitty situations, the best one I thought of working out for me and my family was keep the bars," he said.

"I know that there are other bar owners who have made the decision the other way, that have lost their bars now or are very close."

Mat Jorgensen, owner of Ding Dong Lounge and Infinity Nightclub. Photo / Supplied

He told the Herald the move to level 1 is great but he wasn't expecting business to be as good as it was after the first lockdown.

During the first lockdown, the move from level 2 to 1 went quickly but the long second level 2 in Auckland meant people weren't as itching to get out as they were the first time, Jorgensen thought.

The family home, where he lived with his wife and two children, aged 6 and 8, was located in Titirangi but they now live in a New Lynn apartment.

Jorgensen needed the money for rent and to pay staff with Government assistance going so far, however, he still has had to dip into his life savings.

Ding Dong Lounge was open during level 2 but operated at a loss and there was no point opening the nightclub with only limited seating available.

The decision to remain open was for his staff, many of whom had no other jobs apart from at Ding Dong Lounge.

"If they can't get their income, it affects their families directly," he said.

"We ran at an eye-watering loss so we could keep paying their wages. I topped that up from the proceeds of selling my house."

The bar owner hoped people wouldn't "go rogue" during level 1, saying New Zealand's path had been chosen and we were too far down the life for stuff-ups.

"Let's stick with the programme so we don't have to go through any more level 3 or 4s."

Prime Minister Jacinda Ardern. Photo / Mark Mitchell

Elsewhere, the Restaurant Association has called on the Government to consider cutting GST costs on food and support on commercial lease agreements.

Chief executive Marisa Bidois welcomed the move to alert level 1 but has warned against future increases.

"Moving between alert levels hit our industry hard, just as we were starting to get back on our feet," she said.

"Any future return to a higher alert level could be the final nail in the coffin for a number of our businesses."