Derry hotels at 20 per cent occupancy due to COVID-19 restrictions, says Janice Gault

Hotels in Derry are recording dire occupancy levels of under 20 per cent as a result of the restrictions imposed on the hospitality sector in order to try to control the coronavirus pandemic.
Janice Gault.Janice Gault.
Janice Gault.

That's according to the Derry-born Chief Executive of the Northern Ireland Hotels Federation (NIHF) Janice Gault who said the industry is now running on empty.

Figures released from STR, the international benchmarking company that monitors hotel performance, show the dire position the sector currently finds itself in.

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Across the north as a whole October’s occupancy level has plummeted to 23%, down 68% on October 2019, with Derry and Belfast recording occupancy levels of under 20%.

In Derry City and Strabane District Council area restrictions on the hospitality sector came into effect at the beginning of October, with hotels in other districts closing their doors to the public on October 16, 2020.

Ms. Gault said: “Everyone acknowledges the exceptionally challenging environment we are living in. However, in order for the hotel sector to emerge from the pandemic and be in a position to continue to contribute to our society, it needs support.

“The current six-week circuit breaker has cost hotels in excess of £10M in salary furlough contributions and fixed costs. This does not take account of rent, loans, interest or mortgage payments. To date, the only support hotels have received is the Covid Restrictions Business Support Scheme which is capped at £9,600.

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“Hotels are complex business operations which require forward planning to enable bookings to be made, staff engaged and orders placed with suppliers. Guests have been understanding and have coped well with the inconvenience, but the mood is changing. Complex operations have considerable running costs and require appropriate levels of support.”