A Bay of Plenty publican has delivered a strong attack on the Government's handling of small businesses during the coronavirus pandemic, saying unless they get help to pay their rents, they are heading for "'one huge "s**t fight".
Reg Hennessy from Hennessy's Irish Bar is concerned about the Government's messages of staying home as we move out of lockdown. Photo / File
Reg Hennessy addressed the Government's Epidemic Response Committee during a live online session focused on small businesses and frontline workers.
Hennessy, who owns Hennessy's Irish Bar on Rotorua's Tutanekai St, said the Government had not given any handouts to small businesses other than the wage subsidy, all of which went to staff.
He was also concerned about the Government's messaging around "staying home".
While he said anyone with "half a brain" would have supported the Government's move to level 4, he said he was worried there didn't appear to be enough planning about what happens once alert levels lifted.
"Every time I pick up the paper, turn on the TV, read online all we seem to hear in planning for the future is the stay home message.
"Work from home, shop from home, order your takeaway from home, purchase online and order your next restaurant experience from home."
He said the "new hospitality industry" appeared to be who could offer the best online meal deals on four wheels.
He said it wasn't good for the community's mental health to lose pubs, bars and restaurants and retail outlets where people loved to connect.
"As small business owners we have had no income since lockdown. We have administered to our staff the wage subsidy but soon many will be in a place where they are forced to let staff go.
"It now appears we are not going to receive any support from Government and instead left in a queue at the banks."
He said he was concerned there wasn't enough thought and planning being given to life on the other side.
"Hennessy's will not be opening our doors again until we go to level 2. It is totally impractical for us to open at level 3 for home deliveries. After all we are a pub who sells the hospitality experience, we have wonderful staff who love their jobs. Those things cannot be delivered on four wheels."
Waiariki MP Tāmati Coffey asked Hennessy in the committee meeting if he thought the Government's actions were the right reaction to fight the virus.
Hennessy said "anyone in New Zealand with half a brain" knew alert level 4 was the right thing to do but he said after Kiwis did right by the Government, he was now asking the Government to do right by small businesses.
Coffey also asked Hennessy if he took advantage of the Government's temporary loss carry-back scheme, a tax benefit for businesses.
However, Hennessy said the problem was in the immediate next few weeks and for many, they lost money before the lockdown began.
"We had $14,000 of perishable stock that went to waste before we even started."
The Epidemic Response Committee – which acts as a way for the Opposition to hold the Government to account – will continue sitting while New Zealand is at level 3.
This week, chairman Simon Bridges said the focus for the committee will be small businesses and frontline workers.
"Small-to-medium businesses have felt the brunt of the economic fallout from going into lockdown and still face the daunting prospect of at least another fortnight of harsh restrictions," Bridges said.
Meanwhile Rotorua MP Todd McClay, who is also National's economic development and small business spokesman, is calling for the Government to help landlords and small businesses with debt and mounting costs.
"The wage subsidy has provided support for workers, however a growing number of small businesses now need direct financial assistance from the Government.
"Without support for rent arrears and other mounting costs, more business will remain closed and there will be many more avoidable job losses.
"Many businesses feel they are being expected to take on debt despite circumstances being out of their control," he said in a press release on Tuesday afternoon.
